OREANDA-NEWS. May 19, 2011. For the week of May 10-13, 2011 the Russian stock market showed a decline of prices.

The RTS Index (RTSI) went down to 1,866.30 points (3.62%) from 1,936.29 points as of May 6, 2011. At the end of the week the RTS Index was 9.51% higher than a month ago (2,062.47 points as of April 13, 2011) and 26.44% higher than a year ago (1,476.03 points as of May 13, 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 7.22%.

Over the week the US dollar added 2.51% against the Russian ruble.

Out of 50 RTSI constituents 33 were pulling the Index down (down 70.61 points overall), whereas five securities had a positive impact (plus 0.63 points in total). The price for 11 securities remained unchanged.

The negative effect leaders were ordinary shares of JSC  "LUKOIL" (down 20.94 points), Gazprom (down 16.12 points) and Rosneft (down 4.76 points).

The positive impact was mainly related to the growing prices for ordinary shares of OJSC Uralkali (plus 0.24 points).

Over 49.74% of the RTSI total capitalization was concentrated in the oil and gas sector. The other large-weight sectors were finance (20.48%) and metallurgy (15.18%).

On the sector level the major negative contributor was the oil & gas sector (down 53.44 points) and finance (down 8.62 points).

RTSI Futures Contracts

For the week of May 10-13, 2011 the trading volume in the RTSI derivatives amounted to 742.07 billion rubles or 7.09 million contracts. The turnover of futures contracts on the RTS Index made up 65.31% of the total FORTS turnover (Futures and Options on RTS) in cash terms.

With the RTSI losing 3.62%, June contracts and September contracts shed 3.00% and 3.26% respectively.

During the reviewed period RTSI linked futures were trading below the spot. By the end of the week June contracts were 19.35 points in backwardation, while for September contracts backwardation stood at 26.3 points.

For the week investor's open interest measured in contracts decreased by 2.12%.

The RTS Standard Index

For the week of May 10-13, 2011 the RTS Standard Index experienced negative movement of prices.

The RTS Standard Index went down by 2.58% to 11,126.25 points (11,420.93 points as of May 6, 2011). At the end of the week the RTS Standard Index was10.18% lower than a month ago (12,387.79 points as of April 13, 2011) and 17.15% higher than a year ago (9,497.52 points as of May 13, 2010).

Out of 15 constituents 11 had a negative impact on the RTS Standard Index (down 317.17 points overall). Four securities moved positively (plus 22.49 points).

The most negative impact was mainly due to the falling prices for ordinary shares of JSC  "LUKOIL" (down 133.15 points), Gazprom (down 92.90 points) and Rosneft (down 24.33 points).

The positive impact was mainly due to the growing prices for ordinary shares of "OJSC "MMC "NORILSK NICKEL" (plus 11.45 points).

Out of the blue chips the top fallers were ordinary shares of JSC  "LUKOIL" that lost 6.78% followed by ordinary shares of "FGC UES ", JSC and Gazprom that went down by 4.28% and 4.04% respectively.

The oil & gas sector accounted for 53.09% of the RTS Standard Index' total capitalization. The other large-weight sectors were finance (24.78%) and metallurgy (13.56%).

Ticker

Stock

Weight in the RTS Standard Index, %

Weight in the RTS Index, %

GAZPS

Gazprom, ordinary

19.84%

15.77%

SBERS

Sberbank, ordinary

18.42%

14.64%

SBERPS

Sberbank, preferred

1.46%

1.16%

LKOHS

LUKOIL, ordinary

16.46%

13.08%

GMKNS

NORILSK NICKEL, ordinary

10.85%

8.62%

ROSNS

Rosneft, ordinary

8.18%

6.50%

SNGSS

Surgutneftegas, ordinary

5.37%

4.26%

SNGSPS

Surgutneftegas, preferred

1.88%

1.49%

VTBRS

VTB Bank, ordinary

4.89%

3.88%

URKAS

Uralkali, ordinary

3.85%

3.06%

HYDRS

RusHydro, ordinary

2.67%

2.12%

FEESS

FGS UES, ordinary

2.06%

1.63%

CHMFS

Severstal, ordinary

1.90%

1.51 %

TRNFPS

Transneft, ordinary

1.37%

1.09%

PLZLS

Polyus Gold, ordinary

0.81 %

0.65%

Total

 

100.00%

79.48%

Second-tier stocks

For the week of May 10-13, 2011 the second tier stocks market demonstrated negative dynamics.

Over the reviewed period the RTS-2 Index lost 1.91% to reach 2,204.83 points (2,247.82 points as of May 6, 2011). At the end of the week the RTS- 2 Index was 7.01% lower than a month ago (2,370.93 points as of April 13, 2011), and 26.23% higher than a year ago (1,746.72 points as of May 13, 2010).

17 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 44.82 points overall), whereas five instruments were offsetting this effect (plus 1.83 points). The price for 27 securities remained unchanged.

The negative impact was mainly due to the falling prices for preferred shares of JSOC Bashneft (down 7.58 points), ordinary shares of JSC "Polymetal" (down 5.41 point) and JSC "IDGC Holding" (down 4.58 points).

Most of the positive effect was related to the growing prices for ordinary shares of JSC "MOESK" (plus 0.81 points) and JSC "Pharmstandard" (plus 0.65 points).

In terms of weight in the RTS-2 Index, the power sector was the largest (32.74%), followed by the consumer goods & trading sector (17.90%) and metallurgy sector (15.88%).

Most of the RTS-2 Index decline was due to the negative contributions by the securities of the following sectors: power (down 17.25 points) followed by metallurgy (down 9.08 points) and oil & gas (down 8.84 points).

RTS Siberia Index

For the week of May 10-13, 2011 stocks constituting the RTS Siberia Index showed a negative movement.

The RTS Siberia Index went down by 1.08% to close at 935.17 points (945.40 points as of May 6, 2011). At the end of the week the RTS Siberia Index was 5.81% lower than a month ago (992.90 points as of April 13, 2011) and 3.80% higher than a year ago (900.97 points as of May 13, 2010).

Out of the 10 component stocks four had a negative impact on the Index's dynamics (down 11.72 points). One security moved positively (plus 1.49 points). The price for five securities remained unchanged.

The most negative impact on RTS Siberia Index was coming from the price decline of ordinary shares of JSC "TGK- 11" (down 4.50 points), JSC  Raspadskaya (down 4.36 points) and Southern Kuzbass Coal Company JSC  (down 2.45 points).

The positive effect had only ordinary shares of "OJSC "MMC "NORILSK NICKEL" (plus 1.49 points).

The power sector accounted for 42.83% of the RTS Siberia Index' total capitalization. The other large-weight sectors were metallurgy (36.14%) and oil & gas (15.74%).

The RTS family of indices

Index

Last

Change over (Period), %

Value

Week

Month

Quarter

Year

RTS Index

1,866.30

-3.62%

-9.51%

-0.83%

26.44%

RTS Standard Index

11,126.30

-2.58%

-10.18%

-5.39%

17.15%

RTS-2 Index

2,204.83

-1.91%

-7.01%

-3.70%

26.23%

RTS Metals & Mining Index

350.60

-1.38%

-7.80%

-1.51%

30.43%

RTS Oil & Gas Index

217.06

-5.28%

-11.30%

-1.66%

21.45%

RTS Consumer & Retail Index

416.58

-1.07%

-6.71%

-5.30%

41.37%

RTS Industrial Index

231.04

-0.06%

-2.77%

-2.27%

53.03%

RTS Finances Index

439.75

-2.45%

-9.98%

-7.31%

16.16%

RTS Electric Utilities Index

250.75

-2.87%

-6.53%

-9.55%

-2.60%

RTS Siberia Index

935.17

-1.08%

-5.81%

-5.65%

3.80%

Russian Volatility Index

28.47

7.22%

11.06%

-1.41%

-32.33%

Over the week of May 10-13, 2011, the RTS Index went down by 3.62% to reach 1,866.30 points (1,936.29 points as of May 6, 2011). The RTS Standard Index, the blue chips index, lost 2.58% to reach 11,126.25 points (11,420.93 points as of May 6, 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 7.22% to reach 28.47 points (26.55 points as of May 6, 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 oil & gas sector, with the RTS Oil & Gas Index decreasing by 5.28%. A significant decrease was also shown by the power and finance sectors, with the RTS Electric Utilities Index and RTS Finances Index going down by 2.87% and 2.45% respectively. The regional index, RTS Siberia Index, lost 1.08%.

The US dollar appreciated by 2.51% against the ruble to reach 27.95 rubles per US dollar (27.26 rubles as of May 6, 2011).