Volatility high on Russian stock market

Investors are cautious about Russian stocks, there is no clear-cut trend on the Russian stock market, analysts say. The trading opened lower with a small trade volume. Volatility is currently high, experts point out. Investors are actively selling or buying after some news, however, others have learned that it is better to do nothing.

Some analysts foresee a downward movement on the market. The major negative factors are the situation in the banking sector, which makes investors nervous, and general uncertainty about the YUKOS case. Investors will likely dispose of their YUKOS securities before the weekend. As American indices tumbled on July 8 and the ADRs for Russian stocks closed lower compared to the corresponding stocks on the RTS exchange, the environment is negative. On Thursday, July 8, the RTS index was 0.27 percent higher at 573.9 points. RAO UES shed 2.2 percent and closed at $0.244, LUKoil closed 1.33 percent higher at $26. Surgutneftegas, however, added 1.86 percent to $0.657, YUKOS was 0.65 percent higher at $7.8.