The Russian stock market kicked off in the black Monday on a favorable external news flow and domestic demand for some stocks, especially Surgutneftegaz. Asian and European equity markets headed north following the US stock market after Fridays report on new home sales and durable goods orders was released. New homes sales in the US climbed 2.8% in July (while a 1.7% decline was projected) and durable goods orders rose 5.9% vs. a 1% forecast. Surgutneftegaz climbed further on news about the states possible intention to establish a national oil company into which Surgut is to be folded. Insufficient ruble liquidity on the domestic market remains a constraining factor. By the final bell, the RTS Index gained 1.66% to 1,895.71 and the MICEX Index rose 1.37% to 1,656.32. The price of Brent crude was around $70.50 a barrel, but eased to $69.80 by the final bell. However, Russian oil and gas shares closed in positive territory on MICEX. Gazprom rose 1.13%, Rosneft advanced 0.73%, Lukoil picked up 0.53%, Gazprom Neft expanded 0.21% and Tatneft inched up 0.02%. SurgutNG topped the list of advancers among MICEX blue chips (+6.77%) thanks to an ongoing news flow about possible restructuring of the national oil company into which Surgut is to be folded. Other liquid names also landed in the black on MICEX. Norilsk Nickel grew 1.29%, UES climbed 1.10%, Sberbank added 1.39%, VTB gained 0.58% and Rostelecom closed 0.40% higher. However, MTS closed flat. Market turnover stood at $57.62 mln on benchmark RTS and $7,164.67 mln on MICEX.
Read More...
[Source: Russian Stock Market Blog]
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment