 |
|
||
|
|||
|
|||
|
|
||
|
|
|
|
|||||
|
||||||||
|
|
|
Russian stocks soar on Putin's tax cut comments
RBC, 08.05.2008, Moscow 15:58:57.The RTS index was up over 3 percent in afternoon trade on Thursday. It stood at 2,271.64 percent shortly after 3 p.m., 3.19 percent above the previous day's close. The MICEX index rose 2.71 percent to 1,786.4 points. The biggest gainers today were oil company securities, as Surgutneftegas jumped 5.27 percent, Rosneft gained 5.21 percent, and LUKoil surged 5.85 percent on MICEX. On the RTS, Surgutneftegas soared 5.39 percent, Rosneft rocketed 5.21 percent, and LUKoil spiralled up 4.47 percent. Former Russian President Vladimir Putin, who was today approved as Russia's Prime Minister, told the State Duma that the tax burden on the oil industry had to be reduced, and the news was embraced by the stock market, driving oil producers' stocks sharply higher. Analysts foresee a revaluation of the entire sector if steps are actually taken in this direction. In some experts' opinion, Russian oil companies are currently trading nearly 4 times lower than their western counterparts. Meanwhile, others believe that the growth potential of Russian oil securities is shrinking, currently averaging at 23 percent. This, in their opinion, relates especially to LUKoil and Rosneft, which are said to have either reached their fair market value or even exceeded it. On the other hand, Surgutneftegas common and preferred stocks are considered to still have room for growth, at 70 and 120 percent, respectively.
|
|||||||||||||||||||||||||||||||||||
