Stocks increase on rising foreign bourses, geopolitical lull

MOSCOW, Nov 7 (PRIME) -- The Russian stock market grew on Monday as investors priced in a rise on the foreign stock floors and a quiet geopolitical background, analysts said.

The MOEX Russia Index rose by 2.45% to 2,208.78 and the RTS increased by 4.25% to 1,140.78.

“The Russian stock market grew confidently on Monday as it priced in the continuous positive mood on the foreign stock floors. Also, the oil and metals prices corrected downward after growth on Friday, but remained high, which has a positive impact on the shares of exporters,” Finam analyst Igor Dodonov said.

Veles Capital analyst Yelena Kozhukhova said that given the background and the lack of negative geopolitical news, the MOEX Russia Index and the RTS Index climbed to their new highs since September, adding that mass media have started reporting possible beginning of peace negotiations in Ukraine, which is also a good signal.

Vladimir Chernov from Freedom Finance Global said that the shares of gold producer Polymetal International gained 3.61% to 292.90 rubles. The company’s management forecasts an increase of the free cash flow of the company in October–December 2022, while its net debt should shrink in a few coming months, he said.

Oil major Rosneft grew by 5.73% to 354.20 rubles in response to President Vladimir Putin’s special decision allowing deals with stakes of Vostok Oil hydrocarbon project, Chernov said.

Children goods retailer Detsky Mir was the loss leader contracting by 15.62% to 61.14 rubles because the company was considering delisting the shares and rejecting the dividends for January–September.

Below are the MOEX Russia Index’ five most active stocks on Monday:

Company	Change, %	Last price, rbl	Trading volume, bln rbl
Sberbank	+4.68	131.63	10.760
Rosneft	+5.73	354.20	3.625
Gazprom	+0.50	169.99	3.353
Detsky Mir	-15.62	61.14	3.055
Lukoil	+0.70	4720.00	2.869

(62.0955 rubles – U.S. $1)

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