The Russian stock market today is forced to decline

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In the last trading day of a shorter working week the Russian stock market losing ground as on the external background, and under the influence of internal factors. On the world markets returned to a flight from risk after the announced the resignation of Gary Cohn, adviser to trump, who left the White house in protest against the imposition of protective duties. Locally in the domestic courts under pressure ahead of new sanctions from the US and decline in oil prices only adds fuel to the fire. Under these conditions, the index Mosberg falls within 1% and the RTS – on of 1.65%, reflecting the sharp weakening of the ruble at the start of trading.
In the segment of “blue chips” is also not going smoothly. Metallurgical companies again suffer losses due to the threat of a trade war because of duties of America. In the financial sector, the situation is ambiguous. Quotes “savings” initially jumped 2% in response to positive statements, however, under the influence of the ruble factor soon lost all the advantage and went into negative territory, declining by 0.6%. The Bank’s net profit in January-February of 2018, up 23.4% yoy, while net interest income increased by 7.1%.
Meanwhile, the leaders of growth were shares of VTB Bank, rallidae 1.2%. Action to recoup the Agency’s decision S&P to enhance the long-term and short-term credit ratings of VTB and VTB Capital PLC BB+/B to BBB-/A-3 with stable Outlook. The Agency in its decision referred to the improving credit quality of the sovereign government and, given the close relationship of the organization with the state, a high probability of getting his side of the support, if necessary.
By mid-day the tendency of evasion from risky assets slowed down, and European markets show modest drawdown. This benchmark gives the Russian a chance to reduce losses to the end of the session. On the other hand, ahead of the long weekend and high risks in the international arena, investors are unlikely to take the initiative to buy, not wanting to take additional risks. Thus, the probability of preservation of negative dynamics to the conclusion of today’s session high.
Igor Kovalyov,
InstaForex companies group