Russian shares ended Monday's session in negative territory, with the MOEX Russia Index slipping 0.66% at the close in Moscow as losses concentrated in the Oil & Gas, Mining and Telecoms sectors weighed on the market.
Among the strongest performers on the index, VK Company Ltd (MCX:VKCO) advanced 4.00%, rising 11.90 points to finish at 309.45. PhosAgro PJSC (MCX:PHOR) added 2.01% - 146.00 points - to close at 7,405.00, and AFK Sistema PJSC (MCX:AFKS) gained 1.79%, up 0.24 points to 13.57.
On the downside, several large energy names registered notable drops. Surgutneftegas PJSC (MCX:SNGS) led the decliners by falling 2.31% - down 0.53 points to 22.43 at the close. NOVATEK PJSC (MCX:NVTK) fell 2.30%, losing 31.80 points to end at 1,353.70, while LUKOIL PJSC (MCX:LKOH) was down 1.61%, or 93.00 points, closing at 5,697.50.
Market breadth and notable metrics
- On the Moscow Stock Exchange, rising issues outnumbered decliners by 128 to 115, while 10 stocks finished unchanged.
- PhosAgro (MCX:PHOR) climbed to a 52-week high, finishing at 7,405.00 after a 2.01% gain.
- The Russian Volatility Index - RVI, which measures implied volatility for MOEX Russia Index options, increased 1.38% to 24.24.
Commodities and currency moves
Commodity markets showed mixed direction during the session. Gold Futures for April delivery fell 1.00%, a decline of $50.40, to $5,011.30 a troy ounce. Oil prices moved lower for the most part: the May contract for U.S. crude dropped 3.73% - down $3.61 - to $93.23 a barrel, while the May Brent contract slipped 0.08% - a $0.08 decline - to $100.76 a barrel.
Foreign exchange rates were unchanged for the ruble crosses reported in the session: USD/RUB was unchanged at 81.51 and EUR/RUB was unchanged at 93.81. Separately, US Dollar Index Futures traded lower, down 0.52% at 99.59.
What this means for market participants
The session featured selective buying in media and fertilizer names even as heavyweight energy and gas producers retreated. Volatility ticked up modestly, as indicated by the RVI, while commodity pressure - notably in U.S. crude - correlated with weakness among some energy sector constituents on the MOEX. Market breadth was relatively even, with slightly more winners than losers, indicating a market that is broadly cautious rather than aggressively directional.
Investors and analysts monitoring volume and price-mix dynamics, operating drivers in energy and mining, and short-term volatility should note the divergence between the pockets of strength in stocks such as VK Company and PhosAgro and the wider softness among major oil and gas names.