Russian stocks seen flat on ruble strengthening, oil price rise

MOSCOW, Nov 21 (PRIME) -- The Russian stock market will likely open with marginal changes on Tuesday because pressure of the strengthening ruble will be balanced by an increase of oil prices, analysts said.

"The global markets are neutral on Tuesday in the morning: the Japanese Nikkei 225 index declines by 0.14%, China's Shanghai Composite rose by 0.5%. The Moscow Exchange will start trading the EuroTrans shares today," Cifra Broker analysts said.

Vladislav Antonov, financial analyst at BitRiver, said that the ruble strengthened on Monday because of the remaining forced sales of export revenue and increase of foreign currency supply ahead of a peak of tax payments expected on November 28. The increase of oil prices and a weakening of the U.S. dollar have also contributed to strengthening of the ruble, Antonov said.

The Brent oil price rose by 1.87% to U.S. $80.5 on Monday because of the devaluation of the U.S. dollar and expectations of an additional reduction of the OPEC+ oil production. The alliance will decide on the matter on November 26. The Brent price grew further to $81.89 on Tuesday in the morning.

An increase of pipeline gas exports to China to $5.36 billion in January–October, according to the Chinese customs, is good news for Gazprom's shareholders, Cifra Broker said.

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