Market Outlook

The Russian equity market edged down slightly last week amid the political uncertainties in the US and Brazil.
During the 3-day working week due to national holidays, Russia’s equity market rose in the USD terms mainly thanks to rising oil prices.

The Russian equity market edged down over the week, mostly due to pressure from the fall in oil prices on the back of market expectations of further increases in US production and questions over whether OPEC and non-OPEC producers would extend the output reduction deal. 


Russia’s equity market rose last week mainly on the back of the central bank’s 50 basis-point (bp) interest-rate cut and news relating to a potentially high dividend pay-out by state-controlled companies.

The Russian equity market rose last week, which was likely due to investor interest in companies with strong fundamentals that should distribute dividends to their shareholders in the coming months. 

The Russian equity market fell last week in both rouble and US dollar terms due to investor concerns over the tense relationship between Russia and the US after the US military action in Syria. 


The Russian equity market ended last week in the black in rouble terms, mainly driven by a rise in oil prices (2.9% in US dollar terms) as well as Russian companies’ strong fundamentals as more of them released reasonably healthy financial results for 2016. 


Last week the Russian equity market remained virtually flat in US dollar terms and contracted slightly in rouble terms. This was likely due to some pressure from the overall decline in EM equities at the end of the week. Meanwhile, corporate news and events put additional pressure on some companies’ shares in the power utilities and oil and gas sectors.