OREANDA-NEWS. July 25, 2011. For the week of July 11-15, 2011 the Russian stock market showed a decline of prices.

The RTS Index (RTSI) went down to 1,938.54 points (1.01%) from 1,958.40 points as of July 8, 2011. At the end of the week the RTS Index was 1.02% higher than a month ago (1,919.05 points as of June 15, 2011) and 38.14% higher than a year ago (1,403.33 points as of July 15, 2010).

Last week's drop on the stock market was accompanied by an increase of volatility levels when the Russian Volatility Index RTSVX went up by 6.89%.

The US dollar appreciated by 0.27% against the ruble.

Out of 49 RTSI constituents 32 were pulling the Index down (down 28.44 points overall), whereas 15 securities had a positive impact (plus 8.57 points in total). The price for two securities remained unchanged.

The negative effect leaders were ordinary shares of Gazprom (down 6.92 points), "Surgutneftegas" OJSC (down 3.78 points) and Rosneft (down 3.16 points).

The positive impact was mainly related to the growing prices for ordinary shares of OJSC Uralkali (plus 2.07 points).

Over 48.46% of the RTSI total capitalization was concentrated in the oil and gas sector. The other large-weight sectors were finance (20.54%) and metallurgy (15.63%).

On the sector level the major negative contributors were the oil and gas (down 16.48 points) and power sectors (down 3.89 points).

RTSI Futures Contracts

For the week of July 11-15, 2011 the trading volume in the RTSI derivatives amounted to 926.32 billion rubles or 8.60 million contracts. The turnover of futures contracts on the RTS Index made up 64.00% of the total FORTS turnover (Futures and Options on RTS) in cash terms.

With the RTSI losing 1.01%, September contracts and December contracts shed 1.07% and 1.12% respectively.

During the reviewed period RTSI linked futures were trading below the spot. By the end of the week September contracts were 11.79 points in backwardation, while for December contracts backwardation stood at 18.54 points.

For the week investor's open interest measured in contracts decreased by 9.90%.

The RTS Standard Index

For the week of July 11-15, 2011 the RTS Standard Index experienced negative movement of prices.

The RTS Standard Index went down by 0.35% to 11,636.17 points (11,677.21 points as of July 8, 2011). At the end of the week the RTS Standard Index was 2.07% higher than a month ago (11,399.89 points as of June 15, 2011) and 26.41% higher than a year ago (9,205.17 points as of July 15, 2010).

Out of 14 constituents 7 had a negative impact on the RTS Standard Index (down 106.73 points overall). Seven securities moved positively (plus 65.68 points).

The most negative impact was mainly due to the falling prices for ordinary shares of Gazprom (down 43.14 points), "Surgutneftegas" OJSC (down 26.03 points) and Rosneft (down 19.85 points). The positive impact was mainly due to the growing prices for ordinary shares of OJSC Uralkali (plus 18.27 points).

Out of the blue chips the top fallers were ordinary shares of "Surgutneftegas" OJSC that lost 3.97% followed by preferred shares of OJSC Surgutneftegas and ordinary shares of JSC "RusHydro" that went down by 2.75% and 2.24% respectively. The oil & gas sector accounted for 52.19% of the RTS Standard Index' total capitalization. The other large-weight sectors were finance (25.29%) and metallurgy (13.06%).

Ticker

Stock

Weight in the RTS Standard Index, %

Weight in the RTS Index, %

 

SBERS

Sberbank, ordinary

18.77%

14.69%

SBERPS

Sberbank, preferred

1.68%

1.32%

GAZPS

Gazprom, ordinary

18.44%

14.43%

LKOHS

LUKOIL, ordinary

17.11%

13.39%

GMKNS

NORILSK NICKEL, ordinary

11.02%

8.63%

ROSNS

Rosneft, ordinary

8.14%

6.37%

SNGSS

Surgutneftegas, ordinary

5.42%

4.24%

SNGSPS

Surgutneftegas, preferred

1.64%

1.29%

VTBRS

VTB Bank, ordinary

4.83%

3.78%

URKAS

Uralkali, ordinary

4.63%

3.62%

HYDRS

RusHydro, ordinary

2.58%

2.02%

FEESS

FGS UES, ordinary

2.27%

1.77%

CHMFS

Severstal, ordinary

2.03%

1.59%

TRNFPS

Transneft, preferred

1.44%

1.13%

Total

 

100.00%

78.25%

Second-tier stocks

For the week of July 11-15, 2011 the second tier stocks market demonstrated negative dynamics.

Over the reviewed period the RTS-2 Index lost 2.35% to reach 2,222.15 points (2,275.57 points as of July 8, 2011). At the end of the week the RTS- 2 Index was 1.96% lower than a month ago (2,266.61 points as of June 15, 2011), and 36.18% higher than a year ago (1,631.75 points as of July 15, 2010).

23 constituents out of 58 stocks on the basis of which the RTS-2 Index is calculated had a negative impact on the RTS-2 Index (down 68.58 points overall), whereas ten instruments were offsetting this effect (plus 15.15 points). The price for 25 securities remained unchanged.

The negative impact was mainly due to the falling prices for ordinary shares of JSC "Polymetal" (down 17.67 points), JSC "IDGC Holding" (down 12.96 points) and JSC  Raspadskaya (down 7.95 points).

Most of the positive effect was related to the growing prices for ordinary shares of "VSMPO-AVISMA Corporation" (plus 4.48 points) and OJSC "Volga TGC" (plus 4.43 points).

In terms of weight in the RTS-2 Index, the power sector was the largest (38.34%), followed by the metallurgy sector (17.59%) and the oil and gas sector (12.51%).

Most of the RTS-2 Index drop was due to the negative contributions by the securities of the following sectors: power (down 22.04 points) followed by metallurgy (down 21.14 points).

RTS Siberia Index

For the week of July 11-15, 2011 stocks constituting the RTS Siberia Index showed a negative movement.

The RTS Siberia Index went down by 1.19% to close at 907.17 points (918.08 points as of July 8, 2011). At the end of the week the RTS Siberia Index was 0.26% lower than a month ago (909.51 points as of June 15, 2011) and 12.42% higher than a year ago (806.93 points as of July 15, 2010).

Out of the nine component stocks three had a negative impact on the Index's dynamics (down 17.03 points). Three securities moved positively (plus 6.13 points). The price for three securities remained unchanged.

The most negative impact on RTS Siberia Index was coming from the price decline of ordinary shares of JSC  Raspadskaya (down 12.15 points), JSC "RusHydro" (down 3.10 points) and JSC "WGC-3" (down 1.78 points).

The positive effect had ordinary shares of JSC Gazprom Neft (plus 4.78 points) and "OJSC "MMC "NORILSK NICKEL" (plus 0.901 points).

The power sector accounted for 44.67% of the RTS Siberia Index' total capitalization. The other large-weight sectors were metallurgy (39.83%) and oil & gas (15.51%).

The RTS family of indices

Index

Last

Change over (Period), %

Value

Week

Month

Quarter

Year

RTS Index

1,938.54

-1.01%

1.02%

-4.52%

38.14%

RTS Standard Index

11,636.17

-0.35%

2.07%

-4.43%

26.41%

RTS-2 Index

2,222.15

-2.35%

-1.96%

-5.99%

36.18%

RTS Metals & Mining Index

355.49

-1.67%

-2.13%

-5.16%

46.61%

RTS Oil & Gas Index

223.27

-1.80%

-0.09%

-6.77%

33.09%

RTS Consumer & Retail Index

442.50

2.70%

2.54%

-0.12%

49.69%

RTS Industrial Index

213.01

-1.21%

2.90%

-10.36%

54.25%

RTS Finances Index

441.48

-0.82%

-0.86%

-8.97%

29.49%

RTS Electric Utilities Index

251.62

-2.69%

-2.39%

-5.89%

5.80%

RTS Siberia Index

907.17

-1.19%

-0.26%

-8.32%

12.42%

Russian Volatility Index

23.58

6.89%

-14.44%

-5.92%

-24.83%

The RTS Index went down by 1.01% to reach 1,938.54 points (1,958.40 points as of July 8, 2011). The RTS Standard Index, the blue chips index, lost 0.35% to reach 11,636.17 points (11,677.21 points as of July 8, 2011). The "second- tier" stock index - RTS-2 experienced a decrease of 2.35% closing at 2,222.15 points (2,275.57 points as of July 8, 2011).

Last week's drop on the stock market was accompanied by an increase of volatility levels when the Russian Volatility Index RTSVX went up by 6.89% to reach 23.58 points (22.06 points as of July 8, 2011).

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 power sector, with the RTS Electric Utilities Index decreasing by 2.69%. A significant decrease was also shown by the oil & gas and metallurgy sectors, with the RTS Oil & Gas Index and RTS Metals & Mining Index going down by 1.80% and 1.67% respectively. The growth was shown only by the consumer sector, with the RTS Consumer & Retail Index going up by 2.70%.

The regional index, RTS Siberia Index, lost 1.19%.

The US dollar appreciated by 0.27% against the ruble to reach 28.06 rubles per US dollar (27.99 rubles as of July 8, 2011).