Blue chips were hit with a downward correction across the board due to a downtrend on global equity markets. Liquid names kicked off in the red due to a decline in the US stock indexes after American Home Mortgage Investment reported a lack of liquidity to finance mortgage loans of $300 mln. As a result, the companys assets could be liquidated. In turn, the Asian stock indexes posted losses on reports of Australias largest investment bank Macquarie Bank about losses of its fund due to default in payments against high risk mortgage loans in the US. The RTS Index dipped 2.39% to 1,946.34 and the MICEX Index was 2.38% lower at 1,693.14. Although the price of Brent crude was high around $77 a barrel, Russian oil and gas plays headed south in synch with the domestic market. Lukoil receded 3.17%, Rosneft lost 2.91%, SurgutNG fell 2.53%, Tatneft eased 2.49%, Gazprom receded 2.05% and Gazprom Neft closed 2.36%. After the Russian stock market closed, the US mid-week inventory report was released and the data were mixed. According to report of the US Department of Energy released Wednesday, commercial crude stockpiles dipped 6.497 mln bbl while they only were projected to decline 1 mln bbl. However, distillates picked up 2.889 mln and gasolines grew 0.6 mln bbl. As a result, oils ended mixed. Other blue chips also closed in negative territory. NorNickel lost 2.68%, Sberbank eased 3.71%, UES dipped 1.90%, Rostelecom fell 0.14% and MTS tumbled 2.36%. Market turnover was high $87.62 mln on benchmark RTS and $9,002.87 mln on MICEX.
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[Source: Russian Stock Market Blog]
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