The Russian market may prevent the caution of the investors

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Russian indices opened Wednesday, is ambiguous. Index Mosberg initially attempted to rally, but quickly gave up and went to the red zone under the influence of ambiguous external background. RTS, which was losing about 0.5% this afternoon is reduced by 0.35% amid rebound of the dollar/ruble from highs beyond the mark of 63 RUB the Oil does not give any clear signals, I got stuck in the area of 75,50. Index Mosberg retreats within 0.3%.
Among the “blue chips” demonstrated a good dynamics of quotations of “Yandex”, rising more than 5%. The Board of Directors of the company approved a program to repurchase shares of class A stock option program management in the amount of $ 100 million. It’s about 0.9% of shares of “Yandex” in the address. The maximum term of a share buyback is year, however, the time and amount of transactions is not defined, as will be determined depending on market conditions and other factors.
NLMK shares rise in price on 1,33%. The company is developing a project that will improve the quality of coke and reduce its cost due to the use of cheaper grades of coking coals. Investment in the project will amount to 57 million euros. Start of commissioning is scheduled for the second half of next year.
Given the hesitance of foreign investors before meetings of the fed and the ECB, as well as the hesitancy of oil quotations, which cannot be determined with the motion vector due to emerging contradictions in the group OPEC+ about the prospects of production, to count on the full return of the Russian index growth is not necessary, at least in the short term. The ruble is unlikely to be able to show a more pronounced recovery against foreign currencies until the end of the session, and therefore, the RTS is likely to remain in negative territory.
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Igor Kovalyov,
Analyst
InstaForex companies group