Stocks fall on pessimistic foreign markets, sanctions threat
MOSCOW, Jul 19 (PRIME) -- The Russian stock market declined on Thursday on the back of falling foreign markets and the risk of further sanctions, while an upward oil price correction was seen too unstable to support the market, analysts said.
The MOEX Russia Index fell 1.10% to 2,269.45 and the RTS Index decreased 1.77% to 1,124.43.
УThe external background for the Russian stock market is deteriorating extremely fast. A slide of oil prices signals more significant looming risks. As soon as correction hits the U.S. stock market, the rest of the markets will see no good,Ф Vasily Oleinik, an expert at investment company Finam, said.
He said that the global financial markets situation continues to deteriorate as aides of U.S. President Donald Trump criticized China, and a new round of the trade war is bound to start.
The Russian market is additionally pressurized by statements about future U.S. sanctions, he said.
Yelena Kozhukhova, an analyst at Veles Broker, said that the U.S. key indices opened with a downward gap, and the mood in Europe was moderately pessimistic. Oil prices erased some of the losses but deterioration of the market situation is expected to return them to a support level of U.S. $72.5 per barrel.
Ivan Marchena, an analyst at Forex Club group of companies, said that LukoilТs shares increased against the market trend after the company announced share buyback plans.
Below are the MOEX Russia IndexТ five most active stocks on Thursday:
|Company||Change, %||Last price, rbl||Trading volume, bln rbl|
(62.9006 rubles Ц U.S. $1)