Russian stock market hits 17-month high

The rally has been attributed to the devaluation of the ruble and rising oil prices

Russia’s ruble-based MOEX index exceeded 3,000 points on Friday, marking its highest level since February 22, 2023, the day before Moscow launched its military operation in Ukraine.

The index was 0.7% higher at 3008.61 points. Since the beginning of 2023, the MOEX has increased by about 40%. The stock market has been growing since a collapse following the announcement of partial mobilization in September 2022.

Analysts told Russian business daily Kommersant that the rally had occurred due to a dropping ruble, rising oil prices, and the dividend policy of the country’s corporate sector. Experts expect the MOEX index to reach 3,500 points by the end of the year.

During the latest trading session, shares in LUKOIL, Rosneft, Tatneft, Gazprom Neft, and Surgutneftegaz were among the major oil companies that demonstrated solid growth. Sberbank stocks saw an increase of 0.6%, the strongest among firms in the financial sector.

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Meanwhile, Brent crude oil, a global benchmark for Russia’s main export, was up 1% at $83.72 per barrel, nearing a more than three-month high and supporting Russian stock indexes.

Russia’s national currency, the ruble, edged lower to trade at about 90 against the greenback, nearing its lowest point since April 2022.

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