Russian equities ended Tuesday's trading in Moscow lower overall, as losses in the Mining, Oil & Gas and Power sectors pressured the market. At the close, the MOEX Russia Index registered a change of -0.00%.
On an individual stock basis, the session's top performer on the MOEX Russia Index was Surgutneftegas PJSC Pref (MCX:SNGS_p), which advanced 2.32% - an increase of 1.10 points - to finish at 48.57. PhosAgro PJSC (MCX:PHOR) climbed 2.13%, gaining 158.00 points to end at 7,563.00, while Mobil’nye Telesistemy PJSC (MCX:MTSS) rose 1.08% or 2.45 points to close at 229.00.
At the other end of the tape, Magnitogorskiy Metallurgicheskiy Kombinat PAO (MCX:MAGN) was the weakest name, falling 1.77% or 0.53 points to settle at 29.15. ROSSETI PJSC (MCX:FEES) was unchanged - recorded as 0.00 points - to end at 0.07, and Unipro PJSC (MCX:UPRO) declined 1.24% or 0.02 points to finish at 1.51.
Market breadth on the Moscow Stock Exchange favored decliners, with 135 stocks falling versus 102 advancing, and 16 stocks ending unchanged.
PhosAgro PJSC (MCX:PHOR) reached a 52-week high during the session, gaining 2.13% or 158.00 points to close at 7,563.00.
Measures of market uncertainty ticked slightly higher: the Russian Volatility Index - RVI, which tracks implied volatility of options tied to the MOEX Russia Index, increased 0.47% to 25.60.
Commodities trading showed mixed moves alongside the equity session. Gold futures for April delivery were quoted up 0.18% or 9.10 to $5,011.30 a troy ounce. In energy markets, crude oil for May delivery rose 3.07% or 2.84 to $95.30 a barrel, while the May Brent oil contract slipped 0.12% or 0.12 to trade at $103.60 a barrel.
On the currency front, USD/RUB stood unchanged at 83.05 and EUR/RUB was unchanged at 95.05. The US Dollar Index Futures moved lower, down 0.16% at 99.31.
Summary
- The MOEX Russia Index closed modestly lower as losses in the Mining, Oil & Gas and Power sectors weighed on the market.
- PhosAgro hit a 52-week high during the session; Surgutneftegas Pref and Mobil’nye Telesistemy were also among the session's leaders.
- Market breadth favored decliners, and the RVI edged up, while commodities and currency contracts showed mixed directional moves.
Key points
- Sectors impacted: Mining, Oil & Gas and Power led declines in the equity market, directly affecting related producers and utilities.
- Market breadth and volatility: More stocks fell than rose (135 vs. 102) and the Russian Volatility Index increased to 25.60, signaling slightly higher implied option volatility on the MOEX Russia Index.
- Commodities and FX: Oil futures diverged with Brent down and U.S. crude up; gold futures increased. Major ruble crosses were unchanged at reported levels.
Risks and uncertainties
- Sector concentration - With Mining, Oil & Gas and Power cited as drivers of the session's losses, companies within these sectors may experience continued sensitivity to moves in commodity prices and sector-specific flows.
- Volatility - The uptick in the Russian Volatility Index to 25.60 indicates a small rise in implied option volatility, which could translate to wider trading ranges for indexed and single-stock positions.
- Commodity price swings - Divergent moves in crude contracts and a rise in gold futures illustrate mixed signals in commodity markets that could affect earnings or cash flow expectations for resource-linked firms.
Intraday winners and losers were led by: Surgutneftegas PJSC Pref (MCX:SNGS_p) +2.32% to 48.57; PhosAgro PJSC (MCX:PHOR) +2.13% to 7,563.00 (52-week high); Mobil’nye Telesistemy PJSC (MCX:MTSS) +1.08% to 229.00; Magnitogorskiy Metallurgicheskiy Kombinat PAO (MCX:MAGN) -1.77% to 29.15; ROSSETI PJSC (MCX:FEES) unchanged at 0.07; Unipro PJSC (MCX:UPRO) -1.24% to 1.51.