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After falling by almost 10% on Thursday, Sberbank's shares recovered at Friday's trading and show growth better than the market even without additional news. Analysts say that the Bank's shares are an indicator of the entire Russian market, so they both fall and grow stronger than others
Sberbank's ordinary shares showed growth above the market at the Moscow exchange on Friday, March 13. According to data at 15:30 Moscow time, securities grew by 12%, to 199 rubles, then the growth slowed: by 16:40 Moscow time, the growth was 10.8%. For comparison, papers VTB have risen in price for 2,72%, while Tinkoff Bank --- by 10.04%.
Sberbank's growth was better than that of the market as a whole. The Moscow Exchange index on peaks added only 5.5%, and the RTS index-8.9%. Moreover, not only ordinary, but also preferred shares of Sberbank grew - according to data at 16: 25, by 8.53%, almost to 186 rubles per paper.
There are no special reasons for Sberbank's shares to rise above the market, says Aton analyst Mikhail Ganelin. According to him, the stronger growth is due to the fact that Sberbank shares fell more strongly in trading on the previous day. At the end of Thursday, the Bank's shares fell by 9.6%, to 175.91 rubles per paper. "Usually, those papers are harder they fall, they grow back stronger. In addition, banks are traditionally more volatile. There is no intrigue," Ganelin believes.
According to Anton Pokatovich, chief analyst at BKS Premier, Sberbank shares show investor sentiment in the market, which is why they usually fall or grow more than the securities of other companies.
According to Alexander Losev, CEO of Sputnik --- capital Management, Sberbank's securities growth is also facilitated by the fact that foreigners investing through index funds prefer to buy securities with a high weight in the index, such as Sberbank, at times of rebound. "It's easier to buy these papers than to try to put together an index composition," he explains.
However, it is too early to buy Sberbank shares, Losev believes. "We are not sure that the OFZ market has fallen to the bottom, and Sberbank has a large portfolio of OFZ. We don't know how much he lost on the OFZ assessment these days. Therefore, I would be very careful when evaluating the financial sector, " he says.
Yesterday, the Russian market experienced one of the strongest falls in its history. The Mosbirzhi index fell by 8.28%, coming close to the value of the fall in the historical anti-record of April 2018. Today, the market grew thanks to another round of coordinated support from the world's Central banks, Anton Pokatovich of BCS Premier points out in his review. So, the ECB expanded the monthly volume of repurchases under the quantitative easing program to €120 billion and extended it until the end of 2020. The US Federal reserve is increasing the amount of liquidity provided through REPO, planning to inject $1.5 trillion into the market.
The Bank of Russia also announced supporting measures, but their volumes are very small, Pokatovich told Forbes. So, the regulator launched a "fine-tuning" REPO auction of 500 billion rubles, and also sells currency on the market within the budget rule, "but in very limited volumes," he notes. "The Central Bank joins the aid, but its volume and impact on the overall mood of the markets can not be compared with what the fed is doing now. $1.5 trillion is a lot of money, which led to the rebound," explains Pokatovich.
The Russian Central Bank, unlike the ECB and the US Federal reserve, provides very little assistance, agrees Alexander Losev. "The ruble has become the worst currency in the world since the beginning of 2020, falling more than the Argentine peso, despite the fact that we have created such huge reserves, which, as shown by currency trading this week, do not stabilize the ruble at a critical moment," Losev points out. According to the Central Bank, Russia's international reserves as of March 6 were $577.8 billion .
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