Russian stocks to decline at opening as global environment worsens

MOSCOW, Aug 18 (PRIME) -- The Russian stock market can edge down at opening on Thursday in light of global investors’ worsening risk appetites, and the further dynamics will determine its future trend, analysts said.

“Sales can still prevail at the beginning of the trading session on the Russian stock market because of global investors’ worsening risk appetites. The MOEX Russia Index has failed to consolidate above 2,220, which could have provided further upward correction into the range of 2,350,” senior analyst at financial supermarket Banki.Ru Bogdan Zvarich said.

“The lack of a further upward movement can trigger profit taking in long positions, which can result in a downward correction of the local market to the area of 2,100.”

Zvarich also said that the global environment looks negative with the main Asian markets losing up to 0.9% and core U.S. indices futures falling by 0.1%. The nearest Brent oil futures have added 0.3% to U.S. $93.9 per barrel.

Alor Broker analyst Alexei Antonov said that the Russian market is to decide on Thursday whether the upward wave continues, or the medium-term downward trend returns the MOEX Russia Index back to the 2,000 mark.

End