OREANDA-NEWS. February 15, 2011. For the week of February 7-11, 2011 the Russian stock market showed a decline of prices.

The RTS Index (RTSI) went down to 1,881.90 points (2.42%) from 1,928.58 points as of February 4, 2011. At the end of the week the RTS Index was 4.42% higher than a month ago (1,802.23 points as of January 11, 2011) and 34.20% higher than a year ago (1,391.94 points as of February 11, 2010).

Decline in prices on the stock market was accompanied by an increase of volatility levels when the Russian Volatility Index RTSVX went up by 18.86%.

Over the week the US dollar added 0.02% against the Russian ruble.

Out of 50 RTSI constituents 39 were pulling the Index down (down 48.72 points overall), whereas eight securities had a positive impact (plus 2.05 points in total). The price for three securities remained unchanged.

The negative effect leaders were ordinary shares of Gasprom (down 6.54 points), "OJSC "MMC "NORILSK NICKEL" (down 5.09 points) and OJSC Uralkali (down 4.38 points).

The positive impact was mainly related to the growing prices for ordinary shares of JSC CenterTelecom (plus 0.69 points).

Over 50.28% of the RTSI total capitalization was concentrated in the oil and gas sector. The other large-weight sectors were finance (16.58%) and metallurgy (16.32%).

On the sector level the major negative contributor was the oil & gas sector (down 19.58 points in total).

RTSI Futures Contracts

For the week of February 7-11, 2011 the trading volume in the RTSI derivatives amounted to 811.01 billion rubles or 7.36 million contracts. The turnover of futures contracts on the RTS Index made up 70.16% of the total FORTS turnover (Futures and Options on RTS) in cash terms.

With the RTSI losing 2.42%, March contracts and June contracts shed 2.44% and 2.49% respectively.

During the reviewed period RTSI linked futures were trading below the spot. By the end of the week March contracts were 10.65 points in backwardation, while for June contracts backwardation stood at 26.80 points.

For the week investor's open interest measured in contracts decreased by 14.36%.

The RTS Standard Index

For the week of February 7-11, 2011 the RTS Standard Index experienced negative movement of prices.

The RTS Standard Index went down by 2.83% to 11,759.78 points (12,102.33 points as of February 4, 2011). At the end of the week the RTS Standard Index was 1.25% higher than a month ago (11,615.13 points as of January 11, 2011) and 27.93% higher than a year ago (9,192.16 points as of February 11, 2010).

Each of 15 constituents had a negative impact on the RTS Standard Index (down 342.56 points overall).

The most negative impact was mainly due to the falling prices for ordinary shares of Gazprom (down 62.84 points) and "OJSC "MMC "NORILSK NICKEL" (down 46.69 points). The least negative impact on the Index had preferred shares of Transneft (down 1.59 points).

Out of the blue chips the top fallers were ordinary shares of OJSC Uralkali and JSC VTB Bank that lost 7.95% and 6.26% respectively, as well as preferred shares of "Surgutneftegas" OJSC that shed 5.90%.

The oil & gas sector accounted for 56.6% of the RTS Standard Index' total capitalization. The other large-weight sectors were finance (20.3%) and metallurgy (14.5%).

Second-tier stocks

For the week of February 7-11, 2011 the second tier stocks market demonstrated a downturn of prices.

Over the reviewed period the RTS-2 Index lost 1.38% to reach 2,289.44 points (2,311.56 points as of February 4, 2011). At the end of the week the RTS-2 Index was 1.76% higher than a month ago (2,249.78 points as of January 11, 2011), and 52.03% higher than a year ago (1,505.87 points as of February 11, 2010).

29 constituents out of 68 stocks on the basis of which the RTS-2 Index is calculated had a negative impact on the RTS-2 Index (down 51.72 points overall), whereas 15 instruments were offsetting this effect (plus 19.61 points). The price for 24 securities remained unchanged.

Most of the negative effect was related to the falling prices for ordinary shares of OJSC "Magnit" (down 8.80 points), JSC "OGK-4" (down 6.47 points) nd JSC  Raspadskaya (down 3.81 points).

The positive impact was mainly due to the growing prices for ordinary shares of JSC CenterTelecom (plus5.18 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 (17.8%) and metals & mining sector (13.7%).

Most of the RTS-2 Index decrease was due to the negative contributions by the securities of the following sectors: power (down 13.89 points overall) followed by consumer & retail (down 10.91 points in total).

RTS Siberia Index

For the week of February 7-11, 2011 stocks constituting the RTS Siberia Index showed negative dynamics.

The RTS Siberia Index went down by 1.25% to close at 991.18 points (1,003.74 points as of February 4, 2011). At the end of the week the RTS Siberia Index was 2.48% lower than a month ago (1,016.34 points as of January 11, 2011) and 26.72% higher than a year ago (782.16 points as of February 11, 2010).

Out of the 11 component stocks five had negative impact on the Index's dynamics (down 20.46 points). Two securities moved positively (plus 7.91). The price for four securities remained unchanged.

The most negative impact on RTS Siberia Index was coming from the price decline of ordinary shares of JSC  Raspadskaya (down 7.65 points) and "OJSC "MMC "NORILSK NICKEL" (down 5.58 points).

The positive effect leaders were ordinary shares of JSC Gazprom Neft (plus 6.34 points).

The metallurgy sector accounted for 39.6% of the RTS Siberia Index' total capitalization. The other large-weight sectors were power (32.7%) and oil & gas (15.9%).

The RTS family of indices

Index

Last Value

Change over (Period), %

Week

Month

Quarter

Year

RTS Index

1,881.90

-2.42%

4.42%

15.50%

35.20%

RTS Standard Index

11,759.78

-2.83%

1.25%

10.66%

27.93%

RTS-2 Index

2,289.44

-1.38%

1.76%

14.81%

52.03%

RTS Metals & Mining Index

355.99

-3.66%

-2.22%

17.22%

50.48%

RTS Oil & Gas Index

220.73

-2.07%

8.85%

17.89%

29.23%

RTS Consumer & Retail Index

439.90

-1.80%

-0.20%

22.13%

77.77%

RTS Industrial Index

236.40

0.08%

11.95%

29.90%

73.01%

RTS Telecom Index

291.88

2.43%

8.19%

25.02%

44.67%

RTS Finances Index

474.42

-1.32%

3.06%

13.41%

23.23%

RTS Electric Utilities Index

277.23

-2.35%

1.18%

4.85%

31.62%

RTS Siberia Index

991.18

-1.25%

-2.48%

10.54%

26.72%

Russian Volatility Index

28.88

18.86%

10.68%

17.66%

-27.76%

For the week the RTS Index lost 2.42% to reach 1,881.90 points (1,928.58 points as of February 4, 2011), the RTS Standard Index (blue chips index) lost 2.83% to end up at 11,759.78 points (12,102.33 points as of February 4, 2011).

Drop on the stock market was accompanied by an increase of volatility levels when the Russian Volatility Index RTSVX went up by 18.86% to reach 28.88 points (24.29 points as of February 4, 2011).

Last week most of the key economy sectors represented on the Russian stock market demonstrated negative dynamics. The largest decline was shown by the metallurgy sector. The RTS Metals & Mining Index fell 3.66%. The substantial downturn was also demonstrated by power sector with the RTS Electric Utilities Index decreasing by 2.35%. The largest growth was shown by the telecommunication section, with the RTS Telecom Index going up by 2.43%.

The regional RTS Siberia Index lost 1.25%.

The US dollar appreciated by 0.02% against the Russian ruble to reach 29.3535 rubles per US dollar (29.3489 rubles as of February 4, 2011).