Russian stocks to open flat on Wednesday on mixed background

MOSCOW, Nov 18 (PRIME) – The Russian stocks are likely to open unchanged on Wednesday as the mixed background does not provide any strong drivers for the market, analysts said.

“Consolidation of the RTS Index is the most probable scenario in the short-term. Worries about the spread of the COVID-19 and the restriction measures are still a limiting factor for investors on the markets in general, while Pfizer is preparing to apply to the FDA for approval of its anti-coronavirus vaccine for use in emergency,” investment company Olma senior analyst Anton Startsev said.

The U.S. stock indices lost 0.2–0.6% and the European bourses closed mixed on Tuesday, but the futures for the U.S. stock indices fell on Wednesday morning, while the Asian floors rise, Startsev said.

“We expect the MOEX Russia Index to open with a moderate change of up to 0.2–0.4% in a range of 3,040–3,060. The level of 3,030 and 3,020 will act as the closest support, while 3,070 and 3,080 will become significant resistance,” Algo Capital’s senior risk manager Vitaly Manzhos said.

“After a close-to-neutral opening, the MOEX Russia Index is very likely to switch to consolidation close to 3,050 as the mixed background supports it this morning.”

In the second half of the day, the Russian market will focus on the futures for oil and the U.S. stock market. Among the statistics slew, the most important is the weekly crude oil and oil product reserves that the U.S. Department of Energy is to release at 6.30 p.m. Moscow time, Manzhos said.

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