The Russian stock market finished trading positively against the background of improving the situation on the world capital markets; the ruble quotes were supported by another depreciation of the national currency.
As a result of today's trading, Asian stock indices mostly increased, despite the information about the imposition of sanctions in the United States against the Chinese Semiconductor Manufacturing International Corp. European stock markets were trading in the green zone, and America began trading on an upward trend.
Markets on Monday were supported by signs of accelerating economic recovery in China. The combined profit of Chinese industrial enterprises with annual revenues in excess of 20 million yuan last month increased 19.1% year on year to 612.8 billion yuan ($ 90 billion). Thus, the profit of the country's industrial enterprises increased for the fourth month in a row. In July, it increased by 19.6%.
American indices are growing thanks to improved investor sentiment amid the prospects for a new stimulus package in the US. Speaker of the US House of Representatives Nancy Pelosi and US Treasury Secretary Stephen Mnuchin on Friday resumed negotiations on the next program to support the economy amid the crisis caused by the coronavirus pandemic. “They agreed to continue negotiations in the coming days,” – said spokesman for Pelosi Drew Hamill. Pelosi later said that she considered it possible for Congress to adopt a new program of measures to support the economy, despite the fact that previous negotiations between Democrats and Republicans were at an impasse.
Oil prices on Monday went up in the afternoon. Earlier in the course of trading, both contracts fell in price. The pressure on the market was exerted by concerns about demand due to the continued spread of the coronavirus in the world, as well as reports of an increase in production in Libya. However, as reported by Bloomberg, oil and gas production in Norway could fall by more than 20% if companies do not enter into pay agreements with labor unions this week to avoid strikes. In turn, Russian Energy Minister Alexander Novak said that the balance in the oil market has now been achieved, but the energy ministers of the G20 countries advocate the need to coordinate their actions to balance the market in the event of a worsening situation with a drop in demand due to a pandemic. The G20 Energy Ministers meet on Monday and Tuesday.
The Moscow Exchange index grew by 1.05% – up to 2927.17 points.
The RTS index grew by 0.19% and amounted to 1166.86 points.
The growth leaders among blue chips were Tatneft (MCX: TATN), Gazprom Neft (MCX: SIBN), Surgutneftegaz (MCX: SNGS), Rosneft (MCX: ROSN), Aeroflot (MCX: AFLT). Shares of TATNEFT rose on the news of a deduction for MET in the amount of 1 billion rubles for the company.