Investor activity on the Russian stock market reduced

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After initial attempts to gain a foothold on positive territory, the Russian stock indices have moved to reduce and in the afternoon, losing on average 0.5%. The external backdrop looks moderately positive, although overall trading activity is low due to the approaching end of U.S. Federal reserve meeting.
Meanwhile, the growth of quotations of oil has stalled, while Brent remains in positive territory. Index Mosberg retreated to the level of 2429 points, the RTS traded at 1164 points. The ruble was trading slightly higher against the dollar and the Euro.
After yesterday’s growth the players fix profit in papers of the oil and gas sector. “Rosneft” and LUKOIL back down by 0.75% and 1.8%, respectively. Metallurgical companies remain under pressure – MMK and NLMK fall by 1.5%. Paper “savings” are reduced moderately, in the range of 0.3%. Quotes of VTB is cheaper by 0.43%.
Shares of RusHydro and Transneft, falling 0.6% and 1.1%, respectively, reacting the talk about the possible exclusion of the MSCI Russia index in the context of the revision in November. Paper NOVATEK cheaper slightly more than 1% / France’s Total increased its share in NOVATEK to 19.4%, reaching a maximum level by joint agreement.
Part of the deterioration in sentiment on Russian markets due to the reminder of the tough sanctions the rhetoric of States. In particular, the eve of the U.S. Department of Commerce published a document, according to which 12 Russian companies fall under the trade restrictions.
The closest is a risk factor for the Russian market and risky assets in General – the Federal reserve’s meeting. Hawkish rhetoric of the Central Bank will strengthen the dollar and push emerging currencies, including the ruble.
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Igor Kovalyov,
Analyst
InstaForex companies group