The Russian stock market: the Pressure eased, but risks remain

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The Russian stock market opened lower Monday, but soon investors bought dips and brought the major indexes into positive territory. Affected certain release of tension after the action of the Turkish authorities to curb the depreciation of the Lira, as well as the increased attractiveness of individual decliners last week assets. Afternoon Mosberg index is trading higher by 0.5% and the RTS adds about a quarter percent, showing more modest gains due to the weakness of the ruble, which at the opening updated more than 2-year lows against the dollar.
After aggressive sales on Friday recovered paper metallurgists who have received a blow after proposals to increase the tax burden. Ambiguously feel the shares of the oil and gas sector on the background of unstable oil prices. So, “Rosneft” becomes more expensive in the range of 0.4%, while
quotes “Gazprom” and LUKOIL are down 0.15% and 0.7% respectively. Paper “savings” regenerate by 1.4%.
The shares of Rusagro increased nearly 1% after the publication of good financial reporting. The company’s net profit in the second quarter increased 3.7% yoy, and adjusted EBITDA increased by almost 50%. On the other hand, net debt grew by 38% while revenue decreased by 8% mainly due to lower prices for meat and sugar.
Despite the tension in the segment of risky assets, securities of an emerging segment in General, and Russia and Turkey in particular are at high risk, and sales can return to the site at any time when a new negative signal. Holding back negative at the local level, the weakening of the morning pressure on oil prices, although downside risks remain in force.
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Igor Kovalyov,
Analyst
InstaForex companies group