(Adds detail, updates prices)<\/p>\n
MOSCOW, May 26 (Reuters) – The Russian rouble steadied on Wednesday, showing little reaction to government bond auctions, while the MOEX stock index hit a new record high amid a recovery in oil prices.<\/p>\n
At 1233 GMT, the rouble was flat on the day at 73.49 remaining stuck in the 73-74 range for more than a week.<\/p>\n
Versus the euro, the rouble was 0.1% firmer at 89.93 , compared with levels of about 80 a year ago.<\/p>\n
The rouble is at risk of seeing downside pressure from Russian company dividend payments as shareholders usually prefer to convert their proceeds into foreign currency.<\/p>\n
\u201cThis will weigh on the rouble, and we see it softening to 74 by the end of the week,\u201d Sberbank CIB said in a note.<\/p>\n
The rouble shrugged off two successful auctions of OFZ Treasury bonds in which the finance ministry raised a cumulative 40 billion roubles ($544 million) with demand totalling 122 billion roubles.<\/p>\n
Yields on 10-year benchmark OFZ bonds, which move inversely with their prices, have stabilised in the 7.1%-7.2% range in the past few weeks, below 2021 highs of 7.4% seen in early April .<\/p>\n
\u201cIn general, the balance of key factors for the market looks more comfortable now than a few weeks ago, but this hasn\u2019t brought buyers, only decrease in market volatility,\u201d Rosbank said in a note.<\/p>\n
Brent crude oil, a global benchmark for Russia\u2019s main export, was up 0.2% at $68.51 a barrel, as worries about an increase in supplies from Iran were offset by optimism about improving U.S. fuel demand.<\/p>\n
Russian stock indexes were up, with the rouble-based MOEX Russian index reaching a record high of 3,717.33 points, before retreating to 3,706.3, up 0.5% on the day.<\/p>\n
The dollar-denominated RTS index rose 0.5% to 1,588.3 points.<\/p>\n
Russia\u2019s stock market will climb to new highs this year thanks to higher commodity prices and still-low interest rates globally, although there are risks of a downside correction, a Reuters poll of market experts showed.<\/p>\n
For Russian equities guide see<\/p>\n
For Russian treasury bonds see<\/p>\n