Russian stocks seen growing on US futures, oil price rise

MOSCOW, Dec 14 (PRIME) -- The Russian stock market will likely increase on Monday in the morning, following an upward trend in oil and U.S. futures, analysts said.

"We expect growth of up to 1%. Cold weather favors higher demand and prices for hydrocarbons. The news about the start of vaccination and extension of monetary stimulation measures create a positive market driver," Georgy Vashchenko, head of investment company Freedom Finance’s department for trade operations on the Russian stock market, said.

Alor Broker analyst Alexei Antonov said that the external background is good for a rally, which had lasted for almost six weeks. The U.S. stock market futures add 0.5%, oil grew to U.S. $50.3 per barrel.

Vashchenko said that restart of construction of the Nord Stream-2 gas pipeline and a cold weather in Europe will boost the price of Gazprom but a fewl more months might be needed to complete the pipeline due to the storms and sanctions.

Antonov said that the increase of metals prices will raise the share price of Russian steel companies and Norilsk Nickel.

He added that the Russian market is overheated but there is no reason for a downward correction, which is why, cooling will manifest itself in investment in smaller rather than bigger companies.

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