The Russian stock market continues a series of unsuccessful attempts of growth
The index Mosberg with a slight decrease of about 0.2%, near the 2575 p. as immediate supports will again be levels of 2560, 2550 p. Significant resistance is seen around 2590, 2600 p.
In the first minutes of trading, the index Masuri will play morning a moderate deterioration of the external environment. Later, the specified index may go into a state of consolidation near the opening level.
Output key foreign statistics today is not scheduled. Some influence on the course of trading in Russia may have only publish March data on the change in the number of vacancies in the labor market in the United States (17.00 GMT). In General, the same external reference point for participants in the local trading will remain the dynamics of oil futures.
On Monday, the main Russian stock indices Mosberg (-0.05%) and RTS (-0.22%) ended with insignificant decrease relative to the levels of the previous closing. They managed to almost completely neutralize its strong morning drawdown associated with the unexpected deterioration of the external background. Yesterday world markets was agitated by the statement of the President of the United States Donald trump on plans to increase import duties on products from China this week.
However, market of passion on this matter soon subsided. In mass media there was information that China will continue trade talks with the United States. Against this backdrop, the futures on Brent crude turned up and managed to recover above the nearest significant price level of $70 per barrel. This allowed the indexes of RTS and Masuri to significantly rebound from the intraday lows. Thus, medium-term technical picture in them has not changed. She remains neutral.
Continuing the conversation about , it is worth noting the continued strengthening of geopolitical tensions in the middle East. US threatens new sanctions sostoianie oil rintarou Iran in case of continuation of the Iranian nuclear program. In addition, the United States will increase its military presence in the region. At the same time, Iran made a statement regarding plans for future oil sales on the “gray market” in circumvention of existing sanctions.
At the close of formal trading session, the June futures on the RTS index (RIM9) came to the state of backwardly a value of 21 points, or about 1.7% relative to the reference indicator. Futures market participants remain negative assessment of the medium-term prospects of the RTS index.
On the background of a slight fall in the index Mosberg held at the end of the day, the most liquid stocks ended the day mixed with a deviation of 1-2% compared to the levels of the previous close. Trading volume was relatively low due to the fact that the beginning of a work week would be shortened. In addition, the last day was very poor with important corporate news. Because we have not observed large-scale motions in separate liquid papers.
Significantly worse than the market traded shares of Aeroflot (AFLT RM, -1.82%). They were under pressure in connection with the message about the emergency landing owned by the Issuer of the aircraft. It led to human casualties.
Paper Transneft-Pref (TRNFP RM, -1.53%) once again looked noticeably weaker market. The issuing company is continuing to work on restoration of the oil pipeline “Friendship”. Yesterday in mass-media there were messages about the fact that the standard oil began to flow in the direction of Ukraine for further transportation to EU countries. The recent hit to the pipeline contaminated oil was created for “Transneft” a number of technical and legal problems.
Significantly weaker than the market also closed paper Gazprom (GAZP RM, -0.52%), Magnet (MGNТ RM, -0.96%), Severstal (CHMF RM, -2.12%), Surgutneftegaz-Pref (SNGSP RM, -1.00%), RUSAL plc (RUAL RM, -1.57%).
The leader of increase among blue chips were the shares of Masuria (MOEX RM, +1.46%). Yesterday’s purchases took place without significant information occasion. At the end of the day, these securities moved in the upper third of its four-month range 87-95 RUB. Perhaps in the coming days we will see them in a new attempt to break above the upper border of the specified corridor.
Its likely success in overcoming generates a signal for further medium-term game on increase in district 100. we will Add that in the last year of action “Masuri” significantly behind gone far ahead of the market. Now they look relatively cheap. However, to open the long positions they still need to wait for clear technical signals for buying.
Before you start trading in Russia the futures for US stock indices showed a significant decline in the value of the order of 0.6-0.8%. Contracts for Brent oil show only a slight decrease. Gold futures lost 0.1%. Chinese stock index Shanghai Composite lost 0.1%. Nikkei225 declined by 1.5%. Symbolically, Hong Kong’s Hang Seng fell 0.01%.
The external background before bidding in Russia can be characterized as moderately negative. However, oil futures do not give particular cause for concern. This creates conditions for the opening of index Mosberg with insignificant fall.
Senior risk Manager,
IR “Algo Capital”