The iMOEX index has fully recouped its fall of mid-May and early August.
So, it is likely that the turn-of-the-month effect performed well by recording a 6.3% growth for the iMOEX index, and partially contributed to the increase.
The half-of-the-month effect has now come into play, with iMOEX showing a clear advantage in the first two weeks in terms of average growth: 1.08% vs. 0.21% in the 2nd half. Concurrently, more than 83% of the growth falls on the 1st half of the month.
As analysts note, the index growth has almost run its course. Anyway, reaching the 2500-2600 mark is still possible.
The market is somewhat overheated, and the current growth is nearing its end, said Evgeny Loktyukhov, head of PSB's economic analysis department. "I assume the MOEX index being in euphoria about dividends, is likely to enter the 2500-2600 zone, but gaining a foothold there would be difficult without supporting corporate news," he added, pointing to the dividend factor that is not yet taken into account in the index price.
"We believe that the positive momentum has almost exhausted itself. Now we expect neutral market dynamics influenced by countervailing factors," noted Konstantin Asaturov, Managing Director of the Stock Management Department at Sistema Capital.
This content is for informational purposes only and is not intended to be investing advice.
