Russian Stock Market Sees Slight Growth Amid Weak Trading Activity

Strategic Insights -

The Russian stock market saw a slight increase on July 24, with the benchmark RTS index growing 0.64% to 1499.68 points. Unified Energy System (UES) led the growth, with its shares increasing by 4.9% to 18.982 rubles on the Moscow Interbank Currency Exchange (MICEX). However, Yukos fell by 8.5% on the expectation of a creditors' meeting on Tuesday, where a possible bankruptcy or takeover by Gazprom may be decided.

Key Takeaways:

  • UES led the growth on the Russian stock market, with its shares increasing by 4.9% to 18.982 rubles on the MICEX.
  • Yukos fell by 8.5% on the expectation of a creditors' meeting on Tuesday, where a possible bankruptcy or takeover by Gazprom may be decided.
  • The Russian stock market is still weak and is not reacting to fundamental news, with many investors waiting for a new market trend.
  • Long-term investors who can sit out possible temporary losses may consider buying at current prices, but other players are advised to wait for a new market trend.
  • The market is currently in a lateral trend, with the upper border around 1560 points on the RTS index and the lower border around 1410 points.

Statistics:

  • The RTS index grew 0.64% to 1499.68 points on July 24.
  • UES shares increased by 4.9% to 18.982 rubles on the MICEX.
  • Yukos shares fell by 8.5%.
  • Trading volume on the MICEX stock section was 25.905 billion rubles, with about 10.523 billion rubles being for UES common shares.
  • RTS classic market trading was only $17.399 million.

Sources:

  • Interfax
  • Uralsib (RTS: USBN)
  • Nord Capital
  • Aton Line
  • Bank of Moscow (RTS: MMBM)
  • Megatrustoil