Russian stocks to open higher as other oil, stock markets grow

MOSCOW, Jun 29 (PRIME) -- The Russian stock market will likely open with an upward gap on Wednesday because foreign stock and energy markets are increasing, while improvement of relations between Russia and Tukey is an additional but important factor, analysts said.

“We expect to see the Russian stock market opening with positive dynamics today at 1,860 of the MICEX and assume that this indicator will continue to claw back earlier losses due to a favorable external background,” Oleg Shagov, head of investment company Solid’s research department, said.

The oil price increase and the growth at foreign trading floors will help Russian stocks rebound, Ilya Frolov, an analyst at Promsvyazbank, said.

Brent grew 0.66% to U.S. $48.90 per barrel as of 9:29 a.m., Moscow time on the ICE exchange.

Media reported on Tuesday that Turkish President Recep Tayyip Erdogan can phone President Vladimir Putin on Wednesday, after apologizing to the family of the pilot of a downed Su jet boosting investor optimism, Vitaly Manzhos, a senior analyst at Bank Obrazovanie, said.

Discussion of Gazprom’s Turkish Stream project can restart which is good news for the company, he said.

The market is waiting for statements by E.U. leaders regarding the U.K. quitting the E.U. because previous statements were quite vague, Olma senior analyst Anton Startsev said.

A press conference of Gazprom, where it will announce its financial and economic policies, and also shareholder meetings of Surgutneftegaz, Federal Grid Company of Unified Energy Systems (FGC UES) and Enel Russia will also guide the market, Shagov said.

Investors will also pay attention to the U.S. inflation and oil reserves reports, Startsev said.

End