Market Outlook


Russian equity market surged during the 4-day working week, mainly thanks to some positive corporate news and rising oil prices. The price of Brent crude rose by 2.9% in USD terms, partly due to a drop in US crude inventories. Month-to-date, Brent has been trading at around USD 68-69 per barrel, its highest level since 2014. 


The Russian equity market edged down in both USD and rouble terms last week despite rising oil prices with Brent crude gaining 1.4% in USD terms. Rouble ended the week stronger against US dollar, which supported the performance of Russian equities in USD terms.   


The Russian equity market rose last week with considerable support coming from higher commodity prices, such as those of nickel and aluminium, and some positive investor sentiment regarding the announcements of several companies’ forward strategies, in particular Sberbank and Novatek.

The Russian equity market slipped last week in US dollar terms due a weaker rouble, while the key market gauge in rouble terms, the MOEX Index, remained unchanged, as did the price of Brent crude oil in USD terms.
The Russian equity market dropped last week having followed the general slippage in emerging market equities as the MSCI Emerging Markets and MSCI Russia indices closed the week lower, by 3.3% and 3.1%, respectively. The meeting between OPEC and non-OPEC oil producers ended without any adverse impact on oil prices as the participants agreed to extend the existing oil production cut deal until the end of 2018.


The Russian equity market rose last week mainly supported by rising oil prices, with Brent crude gaining 1.9% in USD terms over the week. 

The Russian equity market declined last week amid a 1.8% correction in Brent crude oil prices in USD terms following a two-year high. Most oil and gas companies followed the oil price down, their shares stepping back after a strong positive dynamics the previous week. At the same time, Sberbank moved contrary to the market to rise by 3.7% in rouble terms on the back of strong Q3 financial results.

Russian equities rose last week on the back of rising crude oil prices as well as strong financial results for many Russian companies and investor expectations that this would lead to higher dividends.