OREANDA-NEWS. On 28 August 2008 was announced, that for the week of August 18 – August 22, 2008 the Russian stock market saw most of the stocks going down.

The RTS Index (RTSI) slipped to 1701,61 points (4,69%) from 1785,36 points as of August 15th, 2008. By the end of the week the RTS Index was 19,87% lower than a month ago (2123,66 points as of July 22nd, 2008) and 8,21% lower than a year ago (1853,77 points as of August 22nd, 2007).

Out of 50 stocks that constitute the RTSI list 36 were pulling the Index downwards (minus 86,6 points overall), while 8 securities were offsetting this impact (plus 2,8 points). The price for 6 securities remained unchanged.

Most of the negative impact was coming from Gazprom ordinary shares (GAZP) (minus 29,11 points), ОАО "LUKOIL" ordinary shares (LKOH) (minus 12,18 points) and OJSC "OC "Rosneft" ordinary shares (ROSN) (minus 11,62 points).

The positive impact of some instruments was insignificant and was less than 1 point.

The slight positive impact was mainly due to Silvinit ordinary shares (plus 2,08 points).

Over 50% of the RTS total capitalization is accounted for by the oil and gas sector. Other major contributors are the banking sector – 19,2% and the metals & mining sector 15,8%.

On the sector level the largest negative contributor was the oil & gas sector (minus 61,7 points).

RTSI Futures Contracts

The weekly trading volume in the RTSI derivatives amounted to 185,9 bln. roubles or 2,2 mln. contracts. Futures on the RTS Index remain the most liquid instrument on the Russian derivatives market, making up for 66,1% of the total FORTS turnover (Futures and Options on RTS) in money terms.

For the week the RTSI shed 4,69%, with September contracts (RTS-9.08) and December contracts (RTS-12.08) falling in price by 6,03 % and by 5,98 % respectively.

Last week September contracts went out of contango and were trading near the spot. By the market closing on August 22nd, 2008 backwardation stood at 5,58 points. December futures contracts were trading above the underlying and closed 23,57 points higher than the RTS Index.

The open interest was mainly concentrated on September contracts. The total volume of open interest in index futures went up by 12,2%.

Second-tier stocks

For the week of August 18 – August 22 most of the second tier stocks demonstrated a drop.

For the week the RTS-2 Index shrank by 2,80% to 1977,52 points (2034,39 points as of August 15th, 2008). At the end of the week the RTS-2 Index was 16,90% lower than a month ago (2379,62 points as of July 22nd, 2008) and 2,07% lower than a year ago (2019,23 points as of August 22nd, 2007).

39 constituents out of 76 stocks on the basis of which the RTS-2 Index is calculated had a negative impact on its dynamics (minus 63,4 points overall). However, 8 instruments behaved positively (plus 6,5 points). The price for 29 securities remained unchanged.

Most of the negative impact was from falling prices for Raspadskaya OJSC ordinary shares (minus 9,6 points) and JSC Acron ordinary shares (minus 5,4 points).

Significant positive push came from rising prices for Silvinit ordinary shares (plus 3,4 points), "VSMPO-AVISMA Corporation" ordinary shares (plus 1,2 points).

The largest weight in the RTS-2 Index had the following sectors: power industry (17,0%), telecommunications (13,4%), consumer goods and trading (12,7%), industrials (11,3%).

Most of the RTS-2 Index drop was due to the negative trend shown by the following sectors: telecommunications (minus 13,5 points overall), metals & mining (minus 11,1 points in total) and power (minus 10,8 points overall).
Index 22.08.08 Change Over (Period), %


 

 Week Month Quarter Week
RTS Index 1 701,61 -4,69% -19,87% -30,06% -8,21%
RTS-2 Index 1 977,52 -2,80% -16,90% -23,75% -2,07%
RTS Oil & Gas 223,04 -6,30% -21,71% -31,06% -4,47%
RTS – Consumer & Retail 283,98 -1,84% -12,43% -18,57% -11,93%
RTS – Metals & Mining 291,14 -3,19% -17,26% -32,30% 9,27%
RTS – Industrials 312,27 -2,54% -16,72% -25,67% -10,85%
RTS – Electric utilities 276,81 -3,21% -11,24% -24,59% -32,20%
RTS – Telecom 227,22 -4,07% -12,12% -17,29% -13,61%
RTS - Financials 526,76 -2,22% -14,60% -25,20% -25,52%
The RTS family of indices

During the week of August 18 – August 22 all the key economy sectors represented on the Russian stock market demonstrated a negative trend.

The largest decline was registered in oil and gas sector with the corresponding sectoral index going down by 6,30%, followed by the RTS Index – Telecom that shed 4,07%. The slightest decline was shown by the RTS Index – Consumer & Retail that shrank by 1,84%.