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Russian stock market evening report by Veles Capital (June 25, 2009, Thursday, 4.00 p.m. GMT)

Stocks
 
Market today. The trades opened with high volatility. The main movement was in the shares of Sberbank and Gazprom. The quotes of those shares reduced by the results of the day. But the preferred shares of Sberbank were being bought on contrary. The external background was contradictory: the oil prices were climbing, and the trades in Europe went in the red zone, the stats on unemployment were negative also.

Market tomorrow. It is hard to forecast the further dynamics. Likely the trades will be as volatile as today. The main activity is still expected in the currently most liquid Sberbank and Gazprom.
 

Bonds
                                                           
Market today. The mood is likely positive. There is demand in the ruble notes. Especially active demand was for the notes of the second echelon, such as Tyumenenergo and Lenenergo-2. Interest was also in RZD-12, -16, MTS-4. In Eurobonds no common dynamics was indicated. Small purchases were indicated in Rosselhozbank and Alfa-13.

Market tomorrow. After a two-day correction against the background of ruble strengthening, growth is likely to occur and the buyers will dominate. The participants will wait for the placement of Gazprom, which is to be conducted next week. The yield of the notes with a three-year offer is expected to be at the level of 13% annually, two-year issues might be slightly higher. So the demand will likely be great.
 

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