Sep
30
Daily trader’s Stock view - September 30, 2008
Filed Under Trader’s view |
This Monday Russian stock market has been failing for a third day in a row. Once again the market was influenced by a cocktail of several negative factors. Above all the top damage was caused by a new crumbling of oil price – Brent barrel lost over 6 USD. Moreover, the situation throughout world’s markets was also quite negative – all top exchanges were traded downwards. At the back of such collapse – all attempts of Russian authorities to stabilize the situation in short-term bring no visible improvements. Among Russian stocks we would like to point out the stocks of Polyus Gold, going up following the news on negotiations for purchase of KazkahGold company.
RTS crashed and burned at -7.11%, hitting 1194.11 points yesterday. The top negative sapping of the indicator was made through stocks of Gazprom (-11.61%), Sberbank (-10.23%) and LUKOIL (-7.18%). The support of index was provided by stocks of Polyus Gold (+22.96%), WGC-3 (+6.9%) and preferred stocks of Transneft (+9.23%).
RTS classic market’s turnover of Monday has formed 38.3 mn USD. Securities of Gazprom (21.3 mn USD), LUKOIL (4.7 mn USD) and Sberbank (3.6 mn USD) have achieved the day’s top turnovers.
Current external environment for Russian stock market is negative. US congressmen have refused to accept “Paulson’s plan” on stabilization of country’s domestic financial market. The resulting DJIA dropped almost -7%, Nasdaq lost over -9%. Asia’s exchanges have also closed in red. Today Russian stock market is unlikely to withstand under such a pressure of bad news – we think that Russian indicators would surely drop after the opening.
Main Stock events
KazakhGold – a sound purchase for Polyus Gold.
Polyus Gold’s board of directors will discuss a purchase of 50.1% stocks of KazakhGold during the meeting on September 30th. The company plans to buy shares with cash and shares of Polyus Gold. One of Polyus Gold’s subsidiaries will act as a buyer in this deal. Polyus Gold’s offer indicates company’s intention to pay 7.95 USD and 0.298 of Polyus Gold’s stock per 1 share of KazakhGold, says KazakhGold’s statement.
Norilsk Nickel’s subsidiaries to buyback 8.7% shares of head company.
Three of Norilsk Nickel’s subsidiaries – “MMC Norilsk Nickel”, “Kola Mining and Metallurgical Company” and “WGC-3” have decided to purchase Norilsk Nickel’s stakes of 4 mn, 6.5 mn and 6 mn stocks respectively. Thus, Norilsk Nickel’s subsidiaries will spend 42.65 bn RUR to purchase 16.5 mn securities of the head company. (8.7% of equity).
Other Stock news
Transneft issued a sound IAS 1Q 2008 financial report.
LUKOIL consolidated 95.4% of TGC-8.
Mosenergo IAS 1H 2008 report published.
Severstal’s subsidiary purchased 1.8 mn USD worth of head company’s GDR.
Russian Stock Market Review (PDF)