Russian shares gained for a second day on speculation stimulus in the world’s biggest economies will continue and as Chinese imports rose, stoking demand for riskier emerging-market equities.
The Micex Index (INDEXCF) climbed 0.4 percent to 1,430.55 as of 10:50 a.m. in Moscow. Trading volumes were 19 percent below the 30-day average, while 10-day price swings dropped to 9.929. United Co. Rusal, the world’s biggest aluminum producer, added 4.5 percent to 169.91 rubles, while OAO RusHydro, the nation’s biggest renewable energy producer, increased 1.8 percent to 54.28 kopeks, snapping seven days of declines.
Emerging-market stocks advanced for a second day. The Federal Reserve will release minutes today of its March meeting when policy makers left the pace of bond purchases unchanged. Japanese Prime Minister Shinzo Abe said that “bold monetary easing” will reverse persistent deflation in his nation. China’s exports increased 10 percent from a year earlier.
OAO Phosagro slid 0.9 percent to 1,304.90 rubles. The board of Europe’s largest phosphate-fertilizer producer approved a price of $42 for new stock it plans to issue, the company said in a regulatory filing today.
Phosagro’s controlling owners, Andrey Guryev and his family, are selling a 9 percent stake for the company to gain entry into the MSCI Russia index and will reinvest about 45 percent of the proceeds in new shares issued by the Russian company.
The RTS Volatility Index, which measures expected swings in stock futures, fell 1.6 percent today to 18.75. The Market Vectors Russia ETF, the largest dedicated Russian exchange- traded fund, added 1.4 percent to $27.58 yesterday. The Bloomberg Russia-US Equity Index (RUS14BN) increased 01.4 percent to 95.89 in New York yesterday.
Russian equities have the cheapest valuations among 21 emerging markets tracked by Bloomberg. The Micex trades at 5.3 times estimated earnings and has lost 3 percent this year, compared with 10.6 times for the MSCI Emerging Markets (MXEF) Index, which has slid 3.4 percent this year.
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