OREANDA-NEWS. July 08, 2010. For the week of June 28 ЎV July 2, 2010 the Russian stock market showed a decline of prices.

The RTS Index (RTSI) went down to 1,316.65 points (5.12%) from 1,387.66 points as of June 25, 2010. At the end of the week the RTS Index was 4.86% lower than a month ago (1,383.87 points as of June 2, 2010) and 37.09% higher than a year ago (960.46 points as of July 2, 2009).

Over the week the US dollar gained 1.15% against the Russian ruble.

Out of 50 RTSI constituents 44 were pulling the Index down (down 72.3 points overall), whereas 3 securities had a positive impact (plus 1.27 points in total). The price for 3 securities remained unchanged.

The negative effect leaders were ordinary shares of "LUKOIL" (down 14.89 points) and Sberbank (down 13.16 points).

The positive impact was mainly related to the growing prices for ordinary shares of "FGC UES", JSC (plus 0.99 points).

Over 50% of the RTSI total capitalization was concentrated in the oil and gas sector. The other large-weight sectors were finance (18.26%) and metallurgy (15.26%).

On the sector level the major negative contributors were the oil & gas sector (down 30.43 points in total) followed by the banks & finance sector (down 16.02 points overall).

RTSI Futures Contracts

The weekly trading volume in the RTSI derivatives amounted to 416.81 billion rubles or 5.01 million contracts. Futures contracts on the RTS Index remained the most liquid instrument on the Russian derivatives market, making up 73.61% of the total FORTS turnover (Futures and Options on RTS) in cash terms.

With the RTSI losing 5.12%, September contracts (RTS-09.10) and December contracts (12.10) shed 4.98% and 5.16% respectively.

During the reviewed period RTSI linked futures were trading below the spot. By the end of the week September contracts were 5.18 points in backwardation, and for December contracts backwardation stood at 3.7 points.

For the week investorЎ¦s open interest measured in contracts increased by 19.06%.

The RTS Standard Index

For the week of June 28 ЎV July 2, 2010 the ruble RTS Standard Index demonstrated a negative trend.

The RTS Standard Index went down by 4.88% to 8,796.43 points (9,247.47 points as of June 25, 2010). At the end of the week the RTS Standard Index was 4.80% lower than a month ago (9,240.27 points as of June 2, 2010) and 34.89% higher than a year ago (6,521.32 points as of July 2, 2009).

Out of 15 constituents 14 had a negative impact on the RTS Standard Index (down 451.04 points overall). One security moved positively (plus 8.12 points).

The negative effect leaders were ordinary shares of "LUKOIL" (down 121.58 points) followed by ordinary shares of Sberbank (down 107.49 points) and OJSC "MMC "NORILSK NICKEL" (down 59.61 points). The positive impact was mainly due to the growing prices for ordinary shares of "FGC UES", JSC (plus 8.12 points).

Out of the blue chips the top fallers were ordinary shares of JSC "Severstal" that lost 8.08%, ordinary shares of "LUKOIL" that shed 6.84% and ordinary shares of OJSC "MMC "NORILSK NICKEL" that went down by 6.63%. The largest growth was demonstrated by ordinary shares of "FGC UES", JSC that gained 4.06%.

The oil & gas sector accounted for 56.26% of the RTS Standard IndexЎ¦ total capitalization. The other large-weight sectors were finance (22.31%) and metallurgy (13.23%).

Ticker

Stock

Weight in the RTS Standard Index, %

Weight in the RTS Index, %

LKOHS

LUKOIL, ordinary

18.83%

15.36%

GAZPS

Gazprom, ordinary

17.68%

14.42%

SBERS

Sberbank, ordinary

17.60%

14.35%

SBERPS

Sberbank, preferred

1.50%

1.22%

GMKNS

NORILSK NICKEL, ordinary

9.54%

7.78%

ROSNS

Rosneft, ordinary

8.39%

6.84%

SNGSS

Surgutneftegaz, ordinary

6.85%

5.59%

SNGSPS

Surgutneftegaz, preferred

1.94%

1.58%

HYDRS

RusHydro, ordinary

3.44%

2.81%

VTBRS

VTB Bank, ordinary

3.22%

2.62%

TATNS

Tatneft, ordinary

2.58%

2.10%

PLZLS

Polys Gold, ordinary

2.43%

1.98%

URKAS

Uralkali, ordinary

2.39%

1.95%

FEESS

FGS UES, ordinary

2.36%

1.93%

CHMFS

Severstal, ordinary

1.26%

1.03%

Total

 

100.00%

81.56%

Second-tier stocks

For the week of June 28 ЎV July 2, 2010 the second tier stocks market demonstrated negative dynamics.

Over the reviewed period the RTS-2 Index lost 4.60% to reach 1,583.39 points (1,659.39 points as of June 25, 2010). At the end of the week the RTS-2 Index was 4.24% lower than a month ago (1,653.52 points as of June 2, 2010), and 84.19% higher than a year ago (859.64 points as of July 2, 2009).

40 constituents out of 69 stocks on the basis of which the RTS-2 Index is calculated had a negative impact on the RTS-2 Index (down 78.84 points overall), whereas 3 instruments were offsetting this effect (plus 2.43 points). The price for 26 securities remained unchanged.

Most of the negative effect was related to the falling prices for ordinary shares of JSC "IDGC Holding" (down 9.41 points), ordinary shares of JSC "OGK-4" (down 6.59 points) and ordinary shares of JSC "OGK-2" (down 6.41 points).

The positive impact was mainly due to the growing prices for ordinary shares of OJSC "Company "M.video" (plus 2.1 points).

In terms of weight in the RTS-2 Index, the power sector was the largest (30.2%), followed by the consumer goods & trading sector (16.2%) and metals & mining sector (13.4%).

Most of the RTS-2 Index decline was due to the negative contributions by the securities of the following sectors: power (down 41.08 points in total) followed by metals & mining (down 7.45 points overall) and telecom (down 6.83 points in total).

RTS Siberia Index

For the week of June 28 ЎV July 2, 2010 stocks constituting the RTS Siberia Index went south.

The RTS Siberia Index lost 6.39% to close at 780.53 points (833.78 points as of June 25, 2010). At the end of the week the RTS Siberia Index was 7.64% lower than a month ago (845.08 points as of June 2, 2010) and 48.50% higher than a year ago (525.61 points as of July 2, 2009).

Out of the 10 component stocks 7 pulled the RTS Siberia Index down (down 53.39 points), whereas 1 stock had a positive impact on its dynamics (plus 0.13 points). The price for two securities remained unchanged.

The    negative    effect    leaders    were

ordinary  shares   of  JSC   Gazprom  Neft

(down 14.15 points) and  JSC "WGC-3" (down 9.67 points).

The positive impact was mainly due to the growing prices for ordinary shares of Southern Kuzbass Coal Company ИуИоИу (plus 0.13 points).

The metals & mining sector accounted for 37.1% of the RTS Siberia IndexЎ¦ total capitalization. The other large-weight sectors were power (31.6%) and oil & gas (15.6%).

The RTS family of indices

 

Index

Last Value

Change over (Period), %

 

Week

Month

Quarter

Week

RTS Index

1,316.65

-5.12%

-4.86%

-18.45%

37.09%

RTS Standard Index

8,796.43

-4.88%

-4.80%

-13.40%

34.89%

RTS-2 Index

1,583.39

-4.60%

-4.24%

-16.74%

84.19%

RTS Oil & Gas Index

229.79

-6.80%

-11.74%

-20.13%

49.57%

RTS Consumer & Retail Index

160.41

-4.33%

-4.52%

-17.07%

16.05%

RTS Metals & Mining Index

282.47

-0.43%

1.01%

-9.16%

83.64%

RTS Industrial Index

137.56

0.26%

-1.51%

-14.00%

90.71%

RTS Electric Utilities Index

197.22

-4.03%

1.00%

-15.77%

73.26%

RTS Telecom Index

311.28

-6.05%

-6.56%

-27.13%

48.46%

RTS Finances Index

228.24

-5.30%

-7.55%

-20.55%

55.64%

RTS Siberia Index

780.53

-6.39%

-7.64%

-22.18%

48.50%

For the week the RTS Index lost 5.12% to reach 1,316.65 points (1.387.66 points as of June 25, 2010), the RTS Standard Index (blue chips index) shed 4.88% to end up at 8,796.43 points (9,247.47 points as of June 25, 2010)

Last week all the key economy sectors represented on the Russian stock market demonstrated negative dynamics. The largest decline was shown by the metals & mining sector. The RTS Metals &Mining Index fell 6.80%. A significant decrease was also demonstrated by the financial and power sectors, with the RTS Finances Index shedding 6.05% and the RTS Electric Utilities Index losing 5.30%.

The regional RTS Siberia Index went down by 6.39%.

The US dollar appreciated by 1.15% against the Russian ruble to reach 31.37 rubles per US dollar (31.01 rubles as of June 25, 2010).