OREANDA-NEWS. May 25, 2012. For the week of May 14-18, 2012 the MICEX Index declined by 8.25% to 1,271.48 points from 1,385.81 points as of May 12, 2012.

The RTS Index calculated based on prices in US dollar dropped by 11.31% to reach 1,289.46 points (1,453.91 points as of May 12, 2012). The US dollar appreciated by 2.35% against the ruble. The stock market volatility rose last week, with the Russian Volatility Index increasing by 33.44% to 44.45 points (33.31 points as of May 12, 2012).

Last week most of the key economy sectors represented on the Russian stock market demonstrated a negative trend. The largest downturn was reported by the financial sector, with the relevant sector index falling by 9.45%. A significant decrease was also shown by the metals & mining and oil & gas sectors, with the MICEX M&M\RTSmm Index and MICEX O&G\RTSog Index shedding 8.54% and 8.36% respectively.

The MICEX Innovation Index lost 7.31%.

Mid cap companies were most affected by the last week's market decline, with the MICEX Mid Cap Index being down by 8.74%. The MICEX Small Cap Index and MICEX Large Cap Index lost 7.40% and 7.21% respectively.

For the week of May 14-18, 2012 the Russian stock market showed a decline of prices.

The MICEX Index was down to 1,271.48 points (8.23%) from 1,385.81 points as of May 12, 2012. At the end of the week the MICEX Index was 13.42% lower than a month ago (1,468.55 points as of April 18, 2012) and 21.85% lower than a year ago (1,627.03 points as of May 18, 2011).

Trading volume of securities included into the MICEX Index constituents list and traded on the Main market equaled RUB259.62 billion. By the end of the week the market capitalization of the Index component stocks amounted to RUB17,076.94 billion.

All the MICEX Index constituents were pulling the Index down (down 8.25%).

On the sector level the major negative contributors were the oil & gas (down 4.61%) and financial sectors (down 2.44%).

The most negative impact was mainly due to the falling prices for ordinary shares of Sberbank (down 2.02%), followed by Gazprom (down 1.79%) and JSC  "LUKOIL" (down 0.82%).

The positive effect leaders were ordinary shares of Mechel OAO (plus 0.004%).

The oil & gas sector accounted for 54.9% of the MICEX Index' total capitalization. The other large-weight sectors were financial (17.8%) and metallurgy (8.7%).

For the week of May 14-18, 2012 the RTS Index dropped by 11.31% to 1,289.46 points from 1,453.91 points as of May 12, 2012. At the end of the week the RTS Index was 18.55% lower than a month ago (1,583.06 points as of April 18, 2012) and 30.28% lower than a year ago (1,849.6 points as of May 18, 2011).

Last week's decrease of the RTS Index was accompanied by an increase of volatility levels when the Russian Volatility Index RTSVX was up by 33.44%.

The US dollar appreciated by 2.35% against the ruble.

Out of 50 Index constituents 48 were pulling the Index down (down 11.31%). The price for two securities remained unchanged.

On the sector level the major negative contributors were the oil & gas (down 6.25%) and financial sectors (down 2.99%).

The negative impact was mainly related to the lowering prices for ordinary shares of Sberbank (down 2.44%) followed by Gazprom (down 2.17%) and JSC  "LUKOIL"(down 1.26%).

For the week of May 14-18, 2012 the total trading volume in index futures and options on the FORTS derivatives market equaled RUB948.24 billion rubles representing 11.39 million contracts.

Last week's trading volume for the most liquid contract on FORTS, futures contracts on the RTS Index, amounted to RUB856.15 billion representing 10.31 million contracts.

The RTS Index futures contract traded in backwardation last week. By the end of the week the RTS Index lost 11.31%, while the June and September futures contracts shed 10.98% and 11.25% respectively.

The total investor's open interest measured in RTS Index futures increased by 4.83%.

During the week, trading volume in futures contract on the MICEX Index was RUB3.44 billion representing 26.35 thousand contracts. Open interest in the contract increased by 2.66%.

Trading volume in options on RTS Index futures totaled RUB85.59 billion representing 1,015.28 thousand contracts. By the end of the week, open interest of RUB79.91 billion or 873.02 thousand contracts was fixed. Call options made up 61.92% of the total open interest for these contracts. The 140,000 strike calls had the highest open interest, as the 120,000 strike puts.

The total investor's open interest measured in options on the RTS index futures decreased by 14.35%.