Russian stocks to open flat on neutral background
MOSCOW, Dec 28 (PRIME) -- Russian stocks are likely to open flat on Wednesday on the lack of drivers from neutral external background, analysts said.
“The ultimate influence of key factors that provide a significant impact on the behavior of the Russian stock market is close to neutral at the beginning of the day,” Oleg Shagov, head of investment company Solid’s research department, said.
The Brent oil price is fluctuating around a U.S. $56 per barrel mark on expectation of data on U.S. oil reserves. The U.S. stock index futures are edging up, while the main Asian floors show no common dynamics and the premarket data of the European trading session signals marginal changes on Wednesday morning, Shagov said.
“We expect the Russian stock market to open close to 2,190 points of the MICEX index and suppose that the stock indicator may once again climb above 2,200 during the day if the external background improves,” Shagov said.
Vitaly Manzhos, a senior analyst at Bank Obrazovanie, also said that the market may open with insignificant changes around 2,190 of the MICEX index due to a neutral external background. “The closest support levels will be 2,180 and 2,170, while 2,200 and 2,210 will act as resistance,” he said.
Timur Nigmatullin, an analyst at investment company Finam, said that forecasts show that the MICEX index will remain close to Tuesday’s closing in the first half of the day. Strong recent releases of Russia’s macro statistics data may be balanced by the central bank’s forecasts that spending of households on ultimate consumption will continue to contract in October–December extending recession.
Manzhos also said that investors will track unfinished housing sales in the U.S. later in the day.
End