Morning Note /

Alfa Morning Bulletin: 25 March 2022

  • Resumption of trading in Russian equities exceeds expectations:

  • US and UK unveil new sanctions, the EU refrains from blocking Russian oil imports

  • Russian equities open with strength

25 March 2022
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Resumption of trading in Russian equities exceeds expectations: Trading in Russian equities resumed yesterday in a shortened session (09.50-14.00), with many restrictions in place. Only 33 local stocks were traded, and non-residents remain excluded from trading. Volumes were high (RUB100 bn) considering the shortened trading session. Overall, the performance exceeded expectations – IMOEX (+4.4%) – with stocks opening at solids levels and remaining well bid throughout session, including individual investors and purchases from the National Wealth Fund. Export names – such as PHOR (+28%), ROSN (+17%), GAZP (+13%), POLY (+24%), RUAL (+15%), and GMKN (+10%) – were well bid. The laggards included AFLT (-16%) and banks – SBER (+4.0%) and VTBR (-5.0%). The ruble continued its advance yesterday, strengthening 0.8% vs dollar to 97.00 and gaining 1.1% vs euro to 106.80.

Russian equities open with strength: Oil prices are steady this morning, as the US and allies consider releasing more oil from storage to cool markets and as the EU decided against blocking imports of Russian oil. European futures are mixed this morning and US stock futures are pointing higher. The ruble continues to strengthen. Russian equities have opened with gains as we go to print for another shortened session.