Correction on the Russian stock market may intensify

yesterday at the opening of trading rewrote the historical maximum, but profit taking began immediately. The attempt to stabilize the situation in the middle of the day did not lead to anything, at the end of the main session the sell-offs intensified and the indicator lost almost a percent on Tuesday.

Today will be an eventful day. First, we are waiting for the outcome of the talks between Biden and Putin. It is unlikely that at this meeting the two leaders will agree to improve relations. Most likely, at the press conference they will leave with general respectful words, which will not be bad.

The absence of positive agreements may well become a reason to intensify selling of overbought Russian stocks. Everyone realizes that after the meeting the likelihood of continued political and economic attacks on Russia will increase.

Further important will be the words of the head of the US Fed Jerome Powell regarding inflation and the timing of the start of the winding down of quantitative stimulus measures. Most likely, the regulator will try to calm the markets.

The external background is neutral in the morning. US futures are trading around yesterday's close, oil approaching $74.5 per barrel is compensating for the decline in metal prices.

Another threat to the Russian market comes from the oil market. Oil prices can go even above 75 dollars for some time, but any negativity will cause a correction to the area of 73 dollars. Recently, our oil market has reacted weakly to oil growth and will react much more readily to its decline.

When oil declines, it is worth opening shorts on . The paper looks very weak in recent days, it seems to have some big seller in it.

again failed to hold under the mark of 72. The ruble is likely to react to the Biden-Putin meeting with a slight decline.