Russian stocks seen lower as oil falls on higher US reserves

MOSCOW, Mar 22 (PRIME) -- Russian stocks are expected to decrease at the opening on Wednesday pressured by falling oil prices and negative dynamics on global floors, analysts said.

“We expect negative opening of the Russian stock market at around 2,040 points at the MICEX index, assuming that after growth during the past four trading days investors’ appetite to risks will decrease due to the worsened foreign background,” Oleg Shagov, head of investment company Solid’s research department, said. On Tuesday, the MICEX closed at 2,048.07.

The ultimate influence of key external factors that have a significant impact on the Russian financial market is moderately negative today, the analyst said.

Brent oil futures are trading below U.S. $51 per barrel after publication of statistical data by the American Petroleum Institute (API), which indicated a significant growth of the U.S. oil reserves, Shagov said.

The leading U.S. stock index futures are suffering losses today, and main Asian stock indicators are falling as well.

Finam analyst Bogdan Zvarich expects that the MICEX may fall to 2,035 points during the first minutes of trading due to decreased oil prices and a decline on global floors.

Investors will follow publication of financial results by electronic goods and household appliances retailer M.Video and payment service Qiwi, as well as uncut diamond giant ALROSA’s investor day.

End