Reports » Russia

Russian stock market daily evening report (February 24, 2010, Wednesday)

Contributed by Veles Capital

By Veles Capital

Stocks
 

Market today. From the beginning of the trading session the Russian participants, as expected, won back all the events that occurred during the long holiday. The trades began in the red zone, against the background of the worsening on the South European states and the drop of index of consumer trust to the economy of the U.S. to minimum level within the past 10 months. Later on the indices rose from the bottom a little, but did not manage to stand at the levels they reached till the negative stats on newly-built houses in the U.S. came out and closed the day in significant negative.

Market tomorrow. We assume open of the market will be affected by the character of the statement by the head of FED Ben Bernanke to the Congress on the prospects of the economy of the U.S. and comments on the measures of worsening the monetary-credit policy. Currently the signals do not provide any clear references, technical factors are mildly negative.
 
 

Bonds
                                                        
Market today. Despite the rather low trading activity on the first after-holiday the positive mood prevailed at the market. Increased interest was for the notes of Severstal MB-1, Sibmetinvest-2, VTB-5, RZD-10, Uralsib LC-2, Rosselhozbank-3, VK-Invest-1. However, by the end of the day the quotes managed to reach Friday levels. Price growth went on at the Eurobond market. Sovereign issue Russia 30 managed to overcome the level of 113% and corrected to 113.06-113.19% by the trades close.

Market tomorrow. Keeping the trend to ruble strengthening versus currencies basket together with the increased liquidity will continue stimulating purchases at the domestic debt market. At the Russian Eurobond market the key event will be closing of the order book on two new issues of VTB. The yield levels announced earlier seem to be attractive, which will cause increased interest to the placement.
 

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