Russian stocks to edge up on shaky oil rise, before May holidays

MOSCOW, Apr 22 (PRIME) -- The Russian stock market will rise only slightly on Friday in the morning because the oil market increase is unstable, and the approach of the May holidays drives investors out of the market, analysts said.

“Taking into account the neutral background and Brent gaining in price, I expect the MICEX to open with a moderate gain of up to 0.5%,” Finam analyst Timur Nigmatullin said.

Oil futures trade above U.S. $45 per barrel but it is too early to call this a confident rise as investors are yet to estimate the future of the oil freeze negotiations’ restart, which several OPEC members have talked about, Anton Startsev, leading analyst at investment company Olma, said.

Oil will consolidate ahead of the U.S. oil and drilling statistics release on Friday, which is why the background at the session opening in Russia is mostly neutral, Oleg Shagov, head of investment company Solid’s research department, said.

The trading volume in Russia will gradually decline as the May holidays approach, this factor also speaks in favor of a market lull, Shagov said.

Russia will celebrate May Day holidays on May 1-3.

Sberbank will likely to rise after Thursday’s selloffs, Nigmatullin said.

Russian Grids will publish a financial report under International Financial Reporting Standards (IFRS), while oil major Rosneft and Novolipetsk Steel (NLMK) will announce dividend recommendations, Shagov said.

Operating results of retailer Dixy for January–March will also be of some interest, Nigmatullin said.

VTB will hold an investor day, and market participants will watch it, Roman Tkachuk, a senior analyst at investment company Okey Broker, said

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