Russian stocks rallied the most among the world’s 25 biggest equity markets Wednesday after oil passed $75 per barrel, Morgan Stanley upgraded metal producers and JPMorgan Chase’s earnings buoyed confidence in banks.
Gazprom and Norilsk Nickel jumped more than 4 percent, and Sberbank gained 2.9 percent. The MICEX Index advanced for the second day this week, adding 3.2 percent to 1,362.86.
The MICEX has more than doubled this year on speculation that economic recovery will boost demand for energy and raw materials, lifting companies’ profits. Stocks climbed after JPMorgan, the second-largest U.S. bank by assets, reported third-quarter earnings that beat analysts’ estimates. “Good JPMorgan numbers … [showed] that global earnings will support the recent enthusiasm in stock rallies,” said Denis Gorvat, a trader with VTB Capital.
Stocks gained from Shanghai to London on better-than-estimated results from JPMorgan and Intel and a report showing China’s declining exports slowed. The MICEX, which fell Tuesday for the first time in seven days, rose to the highest in more than a year Wednesday.
“Crude in the neighborhood of $75 a barrel and strong global markets helped by recent solid earnings releases have helped us more than recover yesterday’s losses,” said Michael Teagarden, a sales trader with UBS in Moscow.
A Message from The Moscow Times:
Dear readers,
We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."
These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.
We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.
Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.
By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.
Remind me later.