Russian stocks to retreat on foreign mkt gloom, peace initiatives

MOSCOW, Jul 9 (PRIME) -- Russian stocks may decrease at Wednesday opening, correcting after Tuesday’s growth as there is almost no good market news from abroad, and Moscow’s new efforts to appease the Ukrainian crisis make investors worry, analysts said.

“The market may face some downward correction today at the start of the trading session,” Olma’s senior analyst Anton Startsev said. “The market’s moon was positive on Tuesday in contrast with the situation on foreign floors,” he said.

The U.S. stocks futures were volatile with the S&P 500 slightly rising, and the Dow Jones falling in the morning prior to the domestic opening.

The Asian floors fell with the Nikkei 225 loosing 0.45% and the Hang Seng dropping 1.24% as of 9.13 a.m. Moscow time.

On Tuesday, Moscow proposed calling for an extraordinary meeting of the OSCE to stop the violence in the east of Ukraine, and allow supplying humanitarian aid and driving civilians out of the area. Investors are attentively following the Russian government’s reaction to the events in the neighbor state, and that is why, the trading session will be very volatile, Moscow Securities Center analysts said in a research note.

From the point of view of the technical analysis, the RTS failed to stay above the 1,400 level for a long time, which means that the market will be correcting downwards and consolidating on Wednesday, Olma’s Startsev said.

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