Russian shares fell for the first time in four days as crude dropped, dulling the appeal of equities in the world’s largest energy exporter.
The Micex Index (INDEXCF) lost 0.4 percent to 1,433.15 by 10:26 a.m. in Moscow, after slipping 2.5 percent last quarter. The dollar- denominated RTS Index (RTSI$) declined 0.6 percent to 1,451.85. Trading volumes on the Micex were 65 percent below the 30-day average and 10-day price swings slumped to 11.709, the lowest since March 15.
West Texas Intermediate crude slid from the highest close in six weeks, snapping its longest rally this year. Futures of oil, Russia’s main export earner, fell 0.4 percent to $96.87 a barrel in New York. Russia receives about half of its budget revenue from oil and natural gas. Markets in Europe, Hong Kong, Australia and New Zealand are closed today for a holiday.
Russian equities have the cheapest valuations among 21 emerging markets tracked by Bloomberg. The Micex trades at 5.3 times estimated earnings, compared with a multiple of 10.5 times for the MSCI Emerging Markets Index, which has slid 2.2 percent this year.
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