Jul
25
Stock Market in Russia - July 25, 2008
Filed Under Trader’s view |
On Thursday Russian stock market has broken through all supported levels. The trades were started in negative zone, due to a fall of oil prices and then RTS rapidly broke through the level of 2100 points. After it became clear that it can not hold its position at that level, RTS fell down. A negative dynamics showed the stocks of oil and gas companies.
RTS decreased by -2.14% and formed 2066.70 points. The most negative effect have the shares of Gazprom (-3.48%), LUKOIL (-3.27%) and Rosneft (-3.27%). A support was provided by the preferred shares of Transneft (+1.49%) and also by common stocks of Rostelecom (+1.27%) and WGC-5 (+2.56%).
A turnover at RTS classic market was at the average level and formed 46.5 mn USD. The highest transaction volumes were provided by the shares of Gazprom (13.7 mn USD), Norilsk Nickel (4.2 mn USD) and LUKOIL (3.8 mn USD).
We do not exclude that some growth tendencies are possible at the fund market. During the last 5 trade sessions, RTS has decreased by 7.1% and reached the lowest border of the average trend. Thus, market looks like oversold and it is possible that today it is start growing. It should be mentioned that yesterday Mechel faced Vladimir Putin’s critics, which prevent to fall of quotes at NYSE. Today, Mechel’s shares can start decreasing in Russia.
Main Russian Stock events
TNK-BP’s net income formed 4.7 bn USD in 1H 2008.
According to preliminary data, TNK-BP’s net income formed 4.7 bn USD in 1H 2008, said Tim Summers production and technology chief manager of the company at the press conference on Thursday in Moscow.
Mechel in trouble?
On May 19, 2008, Prosecution bodies has opened criminal investigation of Uzhniy Kuzbass, the subsidiary of Mechel, concerning illegal usage of natural resources, announced Oleg Mitvol, deputy manager of Rosprirodnadzor.
Other Russian Stock news
Kazanorgsintez’ modernization program totaled 70 bn RUR.
At the 2nd stage of Kazanorgsintez’ development program for 2009-2012, the volume of investment was estimated at 70 bn RUR, which is 2 times higher the investments at the 1st stage of the program, says Interfax.