Stable oil, ruble help Russian stocks edge up

MOSCOW, Apr 3 (PRIME) -- Russian stocks edged up on Monday supported by consistent dynamics of oil prices during the day and a stable ruble, analysts said.

The MICEX rose 0.64% to 2,008.61 and the RTS increased 0.83% to 1,122.98.

“The MICEX tried to develop an upward rebound from the Friday’s fall today. Stabilization of oil prices close to U.S. $53.70 per barrel during the day helped the Russian benchmark. Furthermore, the ruble stopped growing, which was a positive signal for local exporters,” Irina Rogova, an analyst at Forex Club group of companies, said.

But close to the end of the trading session, the Brent price slid 0.715% to $53.15 per barrel as of 6.12 p.m. Moscow time, according to the ICE exchange.

Gleb Zadoya, head of research department at Analitika Online, said that there were several other factors supporting positive mood at the Russian market.

“Rating agency Fitch affirmed Russia’s long-term rating at the lowest investment grade of BBB- in foreign currency with a stable outlook. Fitch became the last out of the three major rating agencies to have confirmed the Russian rating,” Zadoya said.

The Federal State Statistics Service also “played” with some classifications and shares of industries in the gross domestic product (GDP), and decided that the GDP grew 0.3% in October–December 2016, the first increase after seven consecutive quarters of contraction, Zadoya said.

Igor Kovalyov, an analyst at InstaForex, said that the positive mood of the market helped oil major Rosneft gain 1.51% to 328.40 rubles although the company failed to close a purchase of Indian oil refinery Essar Oil by a March 31 deadline. The Indian company is waiting for creditor banks to approve the deal, but the market has no doubt that it will be closed.

Fertilizer producer Acron lost 0.12% to 3,305 rubles after publishing mixed financial results, Kovalyov said. Acron’s net profit calculated under International Financial Reporting Standards (IFRS) soared 53% to 25.525 billion rubles in 2016, but revenue fell 3% to 89.359 billion rubles and earnings before interest, taxes, depreciation, and amortization decreased 27%.

Below are the MICEX’ five most active stocks on Monday:

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	+1.25	161.80	5.287
Gazprom	-0.54	127.21	2.538
Rosneft	+1.51	328.40	1.436
Lukoil	+1.53	3026.50	1.074
Norilsk Nickel	+0.50	8974.00	1.031

(55.9606 rubles – U.S. $1)

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