Russian stocks seen growing on oil price, ruble increase

MOSCOW, Oct 9 (PRIME) -- The Russian stock market will likely open higher on Monday on the back of a growth of oil prices and the ruble, analysts said.

"The MOEX Russia Index has retained a sideways trend, and, taking into account the tendency of the ruble weakening, we should expect a moderate increase (of the index)," , BitRiver financial analyst Vladislav Antonov said.

The Brent oil price grew by 4% in the morning on the back of escalation of the conflict between Israel and Palestine, because its fallout for the region is unpredictable, Antonov said, adding that experts did not rule out oil supply disruptions on the Strait of Hormuz.

According to Alor Broker analyst Alexei Antonov, investors take into account the risk that Iran and several other oil-producing states would be dragged into the conflict and would cut oil exports. Besides, the conflict could trigger higher fuel consumption.

Russia's ruble increased slightly on Monday in the morning but then erased the gains, as the oil price rise was insufficient to reverse the downward trend, BitRiver's Antonov said.

Alor's Antonov said that an increase of industrial and precious metals prices would likely boost the metals stocks.

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