Russian stocks to fall at opening on new twist of US–China row

MOSCOW, May 22 (PRIME) -- The Russian stock market will likely open lower on Friday on the news about a new twist in the U.S.-China conflict, analysts said.

"The signs that (U.S. President) Donald Trump will take a firm stance against Beijing as the key element of his electoral campaign was the reason for the negative mood. Besides accusations of China of the spread of the COVID-19 pandemic, Washington also threatens Beijing with sanctions if it introduces national security laws for Hong Kong," Sergei Drozdov, analyst at investment company Finam, said.

The U.S. Senate passed a bill forbidding some Chinese companies to place shares on the U.S. markets, Drozdov said, adding that if pressure on China rises, the trade agreement between the two states can be undermined.

The oil prices rose to U.S. $37–38 on Thursday but slid by 4.58% to U.S. $34.41 on Friday as of 9:06, Moscow time.

Georgy Vashchenko, head of the department for trade operations on the Russian stock market at investment company Freedom Finance, said that the energy sector will likely be the outsider of Friday’s trading session.

Vashchenko said that a meeting of the board of directors of the Russian central bank will be in the center of investors' attention.  

End %%mk/jst%%