The Russian equity market declined amidst a decline in oil prices. The ruble depreciated against EUR following this trend, but strengthened against USD mostly due to USD weakness triggered by dovish Fed statements.
The Russian equity market saw a mild correction after a prolonged period of good performance. The main driving factor was mixed dynamics of oil prices, and a certain risk-off sentiment in the global markets ahead of the Easter weekend.
The Russian equity market and the ruble saw positive dynamics last week thanks to the oil price growth, as well as some support from the global markets which grew on the back of the mid-week dovish statements from the Federal Reserve which lowered expectations of the number of rate hikes from four to two.
The Russian equity market stayed virtually unchanged during the last week which had only three working days due to the International Women’s Day holidays.
The Russian equity market and the ruble enjoyed a week of growth triggered by a 10% surge in oil prices, which continue to be supported by ongoing talks around output freeze by key global players.
In a 3-day workweek after the national holiday, the Russian equity market and the ruble saw more growth on the back of positive oil price dynamics, which were supported by China’s promises of efforts on sustaining economic growth.
During a long week (there were six working days due to a shift of a Saturday day off to Monday) the Russian equity market and the ruble demonstrated positive dynamics mainly due to oil price growth in the beginning of the week, which was driven by the newsflow surrounding potential agreement between oil producing countries on freezing oil production levels.
The Russian equity market and the ruble declined last week mainly on the back of an oil price contraction.