News & Analysis » Russia

Russian stock market evening report by Veles Capital (June 22, 2009, Monday, 4.00 p.m. GMT)

Stocks
 
Market today. Negative mood in the beginning of the week resumed at the background of price lowering for oil and ruble weakening versus bi-currency basket. The main drop reflected the shares of the commodity companies, and also banks. The main activity was focused in the shares of Sberbank. At MICEX Aeroflot was outlined due to growth at the background of announcement by the CEO with the details of the anti-crisis program.

Market tomorrow. The oil continues dropping, which gives no support to the shares of the oil companies. The States are negative also. So, the external background forms negative suppositions for tomorrow trades.
 

Bonds
                                                           
Market today. Drop at the ruble debt market continued. Quotes of the most liquid issues reduced by 20-50 b.p. average. Particularly the selling was indicated in the issues of Moscow and Moscow region, RZD-16, MTS-4, Lenenergo-3. At the Eurobond market the quotes drop was also indicated, which primarily made its impact on the mid-term currency loans of companies and banks (Rosbank 2013, Bank of Moscow 2013, TNK-BP 2013, Alfa-Bank 2013, Gazprombank 2015.

Market tomorrow. Reduction of oil price and growth of dollar rate took out all the ruble issues’ attractiveness. At the same time the difference of funding cost and market rates on notes is currently favorable to the speculators, which will not allow to slip significantly.
 

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