Russian stock indices show mixed dynamics as Monday’s trading closes

Business & Economy August 07, 2023, 20:29

The dollar-to-ruble rate fell by 0.41% and amounted to 95.27 rubles, the euro rate dropped by 0.31% to 105.30 rubles

MOSCOW, August 7. /TASS/. The Russian stock market made up for significant part of Friday's drawdown, but by the end of the day it still showed a negative trend.

By the end of the trading session, the MOEX index fell by 0.27% to 3,084.08 points, the dollar-denominated RTS index rose by 0.13% to 1,017.03 points.

The dollar-to-ruble rate fell by 0.41% and amounted to 95.27 rubles, the euro rate dropped by 0.31% to 105.30 rubles, the yuan edged down by 0.09% to 13.24 rubles.

"Buyers were favored by the weakness of the ruble, the relative stability of oil prices and the factor of deferred demand (investors often postpone purchases from Friday to the beginning of next week due to fears of negative factors during the weekend). Attempts to strengthen the ruble in the afternoon resulted in a decline in the growth rate of the MOEX Index," said Alexander Bakhtin, investment strategist at BCS World of Investments.

The external background remained unstable.

"Monetary factor worries markets. Last Friday, statistics on the US labor market indicates that it remains pro-inflationary, and this may stimulate the Fed to raise the rate again," Bakhtin added.

Among the growing industries transport sector was the favorite. The MOEXTN index added more than 7% by the end of the day. Shares of seaports continue to push the index up, in particular, shares of NCSP has added more than 27% today, said Sofia Kirsanova, portfolio manager at the First Management Company.

NCSP shares rose on Monday without news, but possibly in anticipation of dividends for the first half of 2023, Natalya Milchakova, a leading analyst at Freedom Finance Global, said.

In turn, the metallurgical sector showed the dynamics, which was worse than the market. Preferred shares of Mechel (-3.3%) were the leaders of the decline amid some upward adjustment of the ruble," Milchakova added.

According to a forecast by the BCS World of Investments, on August 8, the MOEX index will be in the range of 3,080-3,200 points, the dollar-to-ruble rate will fluctuate between 93 and 97 rubles.

Freedom Finance Global believes that tomorrow the MOEX index will move in the range of 3,000-3,100 points, the dollar-to-ruble rate will be in the range of 94-96 rubles, the euro-to-ruble rate is expected between 104-106 rubles, the yuan-to-ruble will be in the range of 13.1-13.4 rubles.

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