Jun
23
Stock trader’s view - June 23, 2008
Filed Under Trader’s view |
Under the influence of all the external negative background – market players started playing at market’s general market overheating. Since the very start of the trading session RTS took on a downward sail, following the path almost whole day. Some sloping hit almost all of blue chips. Besides of that, do note that stocks of Uralkali – which corrected after growth since the early June of +31%. Although Uralkali had some opponents among energy sector stocks, the securities that are especially popular amongst investors, due to the upcoming corporate events within UES.
RTS downed -0.67% and formed 2384.75 points. The top significant influence at indicator was made by stocks of: LUKOIL (-1.26%), Uralkali (-5.36%) and Sberbank (-1.26%). Some support has been provided by stocks of NLMK (+2.86%), Open Investments (+5.8%) and Gazprom (+2.53%).
The classic market’s turnover has totaled 49.3 mn USD, which is a rather high value for the summer period. The top deal volumes were secured through stocks of Sberbank (10.6 mn USD), LUKOIL (8.6 mn USD) and Gazprom (6.7 mn USD).
In the short-term prospect we still see the Russian market in a pessimistic light. RTS is moving within the fall trend and now another phase of downward movement takes its toll. Aside of this – this week market expects the all important event – the Fed meeting, which would decide the fate of base rate. Prior to the meeting of Fed, up to Wednesday – whole market could be moving within the sideway trend. During the second half of the week market dynamics would depend upon the results of the meeting. Note though that many market players expect the rate to be upgraded, which could be taken negatively by the market. We do not exclude that during the trades of the week RTS could try and test 2345 points market. However if Fed would keep the base rate unchanged – the market may slope down in a more significant manner.
Main Russian Stock events
Sibirtelecom: a significant growth of “non-audited” effectiveness.
During 2007 Sibirtelecom expanded sales up +16.9% to 35.2 bn RUR. Net income rose 2.8 times to 2.7 bn RUR. OIBDA upped + 60.4% to 11.8 bn RUR, OIBDA margin has formed 33.6% versus 24.5% of prior year.
Other Stock news
Gazprom could get a job in Iran.
In under one month and a half Gazprom will make a decision concerning participation in exploration projects in Iran, said the head of the company Alexander Djukov to journalists at the shareholders’ meeting held on Friday in Moscow.
LUKOIL launched the first the first stage of the project of deposit development in South Khalchuya.
Ravil Maganov, the senior executive vice president of LUKOIL, Don Vallet , the president of ConocoPhillips in Russia and Caspian Region and Valeriy Potapenko, the head of administration in Nenetsk Autonomous District have attended the launch of the first phase of deposit development project in South Khalchuya, announced the press-release by LUKOIL.
WGC-6 IAS report of 2007.
WGC-6 sales of 2007 expanded versus past year up +28.4% and formed 1,355 bn USD. The increase of sales occurred mostly due to growth of generated electricity sales up +12%, which ensured +81.7% addition to company’s sales, not to mention 4 times hike of purchased electricity (+12% of sales).
Stock trader’s view - June 23, 2008 (PDF Russian Shares Report)