Higher volatility is possible today with the shares of AFK Sistema and Bashneft due to the start of Court hearings

Before the opening of the Russian market there was a mixed external background. We expect a neutral opening of the market. In the coming days the dynamics in the market will depend on another round of the gas negotiations between Russia-Ukraine-EU. Anyway one should not expect a sharp termination of sanctions imposed on Russia. A higher volatility is possible today with the papers of AFK Systema and Bashneft as the Arbitration Court will start hearings upon the reconsideration of the results of privatization of the enterprises of the Bashkir Fuel and Energy sector.

On Wednesday the growth of the Russian market will go on. On the results of the trade market the RTS index rose 0.96% to 1,059.62 points, MICEX index – 1.7% to 1,439.58 points. The MICEX index almost reached the next rate of 1,440 points which will be difficult to overcome at once. If it is overcome, we can aim at 1,500 points. There is a lower attention to the stock exchange market now due to the currency fluctuations – these days the rouble daily loses 1% to the dollar and euro. The growth can partially be explained by the weakening of the national currency.