The Russian stock market is growing after the weekend
The Russian stock market on Thursday morning is trading in the green zone. However, the dollar-denominated RTS index in the red amid growth index Mosberg more than 0.5%. The reason is the weakening of the ruble. Index Mosuri will hold today’s auction in the hallway 2570-2600 points.
Yesterday the auctions in the Russian market was not conducted, was a public holiday. Trading on the foreign exchange market and the precious metals market, the stock market and the Deposit market, the derivatives market of the Moscow exchange will be held 2-3 and 10 may 2019. The may 9 victory day – day off in all markets of the exchange, may 6-8 – working days, the auction will be conducted as usual. Activity during the may holidays traditionally low. All not make any money, and most traders markets traditionally prefer a barbecue or a trip to warm countries.
The Federal open market Committee (FOMC) kept interest rates on Federal funds ranging from 2.25% to 2.5% per annum. The fed also signaled that it was not inclined to change rates in the near future. However, we should not forget that Donald trump urges the fed to reduce the base interest rate. In addition, in April he made his first appearance for new quantitative easing.
A barrel of Brent trading at $71,66, decreasing by 0.7%. Against this background, there is a weakening of the ruble. The corridor is expected today on the pair dollar/ruble is 65,0-65,4 rubles, and Euro/ruble – 73,0-73,4 RUB.
Saudi Arabia announced a possible extension of the agreement OPEC+ to the end of the year. On the market there are rumors that Saudi Arabia will take advantage of good market conditions and conduct an IPO. Fans of backroom politics even believe that the Saudis especially hyping the price of oil to be expensive. The smoke without fire does not happen. How to treat an IPO? In fact, Saudi Aramco, of course, associated with various military-political risks. Nobody really knows how hard the throne of Saud.
More interestingly, as we well remember, a few years ago, the company valued itself at $2 trillion. Net profit of the state oil company of Saudi Arabia Saudi Aramco in 2018 amounted to $111,1 billion, Then assessment to many seem high, however, P/E – 18 does not seem something special. It is clear that any Issuer who wants to sell himself dearly, but the estimate of $2 trillion. doesn’t look too high. Saudi Aramco planned to sell 5% of capital $100 billion. View, will decide whether the Saudis and the IPO. If they are placed approximately at the declared multiples, it will be a good driver for all oil and gas companies in emerging markets. In particular, for the Russian “Rosneft” and especially “Gazprom”.
Euro/dollar trading at $ 1,121. Today you should pay attention to the meeting of the Bank of England 14.00 GMT, the figures for the US labor market 15.30 GMT.
Director of information-analytical center,