Russian stocks seen flat on oil price, foreign markets inertia

MOSCOW, Nov 3 (PRIME) -- The Russian stock market will likely open with marginal changes on Friday on the back of a weak oil price and foreign markets dynamics, analysts said.  

“The ultimate influence of the external key factors significantly affecting the Russian financial market behavior has been close to neutral today at the start of the day,” Oleg Shagov, head of the investment company Solid’s research department, said.

The Brent oil prices are fluctuating close to the U.S. $60.8 per barrel level as investors are waiting for the release of the U.S. drilling activity data and signals from OPEC about a possible prolongation of an output reduction deal.

U.S. stock market futures are little changed, Asian markets are mixed and the European premarket session signals a slight increase of the indices later in the day.

Olma senior analyst Anton Startsev said that expectations of a soon U.S. key rate rise, announcement of a new Federal Reserve System (Fed) head candidate by the president and a tax reform plan by the Republicans have reduced the market activity worldwide.

All these factors, according to Shagov, will make the Russian MICEX index open at about 2,075 and consolidate near the level.

Market participants will pay attention to the U.S. business activity and labor market to be published later on Friday, Shagov said.

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