Russian stocks to rise on Thursday in line with oil prices

MOSCOW, Sep 20 (PRIME) -- The Russian stock market is likely to open with a slight increase on Thursday supported by growing oil prices, analysts said.

“We expect the MOEX Russia Index to open with a moderate increase of about 0.3% in the range of 2,410–2,415. The levels of 2,400 and 2,390 will act as the closest support, while 2,420 and 2,430 will become the resistance. The MOEX Russia Index will price in a slight improvement of the oil market mood during the first minutes of the trade,” Algo Capital’s senior risk manager Vitaly Manzhos said.

The Brent oil price gained 0.816% to U.S. $79.68 per barrel as of 8.40 a.m. Moscow time, according to the ICE exchange.

Anna Bodrova, a senior analyst at Alpari, said that prices for oil started to grow using a neutral external background.

“A rather good bull-ish factor came with Iran’s comment that the oil price may soon reach the threshold of $80 per barrel in spite of all attempts of the OPEC cartel to raise production. OPEC is to meet next week, and it is likely to discuss options for OPEC and non-OPEC states to raise their oil output,” she said, adding that the Brent oil price’s previous peak was $80.13 per barrel.

Anton Startsev, a senior analyst at investment company Olma, said: “From the point of view of technical analysis, the next goal for upward movement of the RTS index lies in the range of 1,150–1,160, but after an almost 9% growth over the seven previous trading sessions, the probability for the growth to stop at the current levels increases.”

“The increase of interest rates in the U.S. debt sector remains a potential threat for demand at emerging markets, as the yield on 10-year U.S. treasuries has anchored above 3.0% annually,” Startsev said.

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