Russian stocks to increase bolstered by oil price growth

MOSCOW, Jan 25 (PRIME) -- The Russian stock market will continue its growth on Monday at the start of trade on the back of an oil price rebound and bullish moods on foreign markets, analysts said.

“The technical external background is positive today in the morning: the U.S. stock indices grew significantly on Friday, the S&P 500 futures are edging up today, Asian indices are in the green zone, the Brent oil blend has strongly gained weight,” UFS IC analyst Alexei Kozlov said.

Brent rose 1.24% to U.S. $32.58 as of 9:11 a.m., Moscow time on Monday on the back of a frost in Europe and a blizzard on the U.S. East Coast, Oleg Shagov, head of investment company Solid’s research department, said.

Russian investors are also anticipating a forthcoming lifting of international sanctions from Russia after a statement of France’s Economy Minister Emmanuel Macron, Olma senior analyst Anton Startsev said.

As the result, the MICEX will grow by about 0.7% to 1,730 with 1,710 and 1,700 being the support notches and 1,740, 1,750 the resistance notches, Bank Obrazovanie’s senior analyst Vitaly Manzhos said.

Investors will be mostly tracking the oil futures and the ruble dynamics, Shagov said.

A meeting of the U.S. Federal Reserve System on Tuesday and Wednesday and of the Russian central bank on Friday will keep market participants in suspense throughout the week, Shagov said.

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