Russian stocks close in the red amid negative external environment
The MOEX Russia Index slipped by 0.42% to 3,802.95 points
MOSCOW, June 18. /TASS/. Russian stocks ended the trading week in the red on Friday following oil futures and global stock markets. Particularly, the MOEX Russia Index slipped by 0.42% to 3,802.95 points, while the dollar-denominated RTS index dropped by $1.06% to 1,646.72 points.
The dollar exchange rate was up by 0.57% against the ruble to 72.7345 rubles, while the euro exchange rate was up by 0.29% to 86.3966 rubles.
"It seems investors are ready to lock in profits as there are no other reasons to continue purchases so far. There are no reasons for a strong rebound either, which is why the best option now is to partially lock in the positive and see how the events unfold," Alpari’s Anna Bodrova said.
Meanwhile, the global market was supported on Friday by the decision of the Bank of Japan to extend its program of backing business amid the pandemic by the end of March 2022. "The information maintained the projections of keeping in the regions of the Eastern and South-Eastern Asian of the economic base forming the investment demand, despite the increase in mid-term risks of cooling the American stock market as part of the start of the discussion on possible reduction of the assets purchase program announced by the Federal Reserve System," Freedom Finance’s analyst Alexander Osin said.
The cost of Brent crude oil is down below $74 per barrel. Oil futures were under the pressure of the local strengthening of the dollar, as well as another wave of increasing the virus-related risks, an investment strategist at BCS Alexander Bakhtin explained.
"Britain where more than three quarters of the population have been vaccinated, is facing a quick spread of the Indian coronavirus strain, forced to extend the lockdown restriction for another month," the expert said.
TCS shares were the leaders of growth (+5.58%) as they approached the highest level of 5,846 rubles, whereas Rusal (-2.21%), Alrosa (-3.1%) and Sistema (-2.5%) topped the list of outsiders, same as VTB (-2.29%).