Reports » Russia

Russian stock market daily evening report (February 10, 2010, Wednesday)

Contributed by Veles Capital

By Veles Capital

Stocks
 

Market today. On Wednesday the Russian market made a volatile session. At the beginning of the day support to the notes came from the climbing oil and weakening dollar to the currencies basket, later on under the impact of alarms about increasing rates in the U.S., which has been announced at 6:00 pm by the head of FED Ben Bernanke, the indices changed and dropped hard.

Market tomorrow. Further moves of the Russian notes will depend from the interpretation and comments of the specialists on the statement by Bernanke. But it is clear already that wild bulls game is over in the mid-term prospect, and later on we should be expecting further outflow of capital from the risky assets.
 
 

Bonds
                                                    

Market today. The day was relatively indefinite. Within the morning hours selling prevailed at the market, however, the trade volumes were not high. Significant slipping of price of the state debt occurred, particularly concerning the 26202 and 25068 issues. After the new messages on possible support from Germany in solving the Greek problems, the market got slightly livelier. Increased interest was indicated in the notes of RZD (10, 12, 16 and 23 issues), along with the liabilities by Rosselhozbank (3, 8, 10 and 11 issues). But the day was likely closed in minor tune, which was due to the statement by Ben Bernanke. The situation developed in the similar way at the Russian Eurobond market. In the middle of the trading session the quotes of the Russia 30 issue reached 113% of the nominal value, having that way pushed high the corporate sector also. However, by the evening the quotes returned to the levels of opening the day and have even gone lower.

Market tomorrow. Speed and strength of the markets reaction to the words of Ben Bernanke on the possible upping of the rate on dollar prove our suppositions relating the quotes recovery process being of temporary nature.
 
 

No comment
 

RusAl will ask Hong Kong market to cancel limits on shares trading. (Interfax)
Severstal opened an order book on market bonds of 15 bn RUR, reference of the coupon is 10 to 10.5%. (Interfax)
Raspadskaya will invest 3.5 bn RUR to the development. (Interfax)
WGC-3 estimates the investments for 2010 in 25 bn RUR. (Interfax)
Vimpelcom plans to up the sales from the fixated WBA by 50-60% in 2010. (Interfax)
Vimpelcom does not exclude paying off dividends in 4Q 2009. (Interfax)
KAMAZ approved the program for 2010-2013, volume of the investments forms 19.7 bn RUR. (Interfax)