Sept. 19 (Bloomberg) -- OAO Sberbank, Russia’s largest lender, rose for a sixth day as the ruble surged after the U.S. Federal Reserve unexpectedly refrained from cutting stimulus.
Sberbank jumped 2.8 percent to 102.37 rubles by the close in Moscow, the strongest level since May 28 and a six-day rally of 7.2 percent. That’s the longest stretch of gains since June 2012, data compiled by Bloomberg show. The volume of shares traded was equivalent to more than 2.1 times the three-month average. The bank, which accounted for about 45 percent of retail deposits in Russia as of April 1, added 4.7 percent to $12.87 in London.
The Fed yesterday said it wants more evidence of an economic recovery before paring its $85 billion-a-month bond buying program, spurring a rally in emerging-market assets. The ruble had a record winning streak, adding 0.4 percent against the dollar to 31.6865. That’s the strongest level since May, when Fed Chairman Ben S. Bernanke stoked speculation the bond buying program would be reduced, triggering a rout in developing-nation stocks.
“Banks should be outperforming the market today since the ruble is strengthening,” Natalia Berezina, an analyst at UralSib Capital in Moscow, said by phone. “The Fed’s decision is positive since the easing will continue untouched for now.”
Sberbank’s second-quarter profit rose 4 percent to 86.5 billion rubles ($2.6 billion), missing estimates, as slowing economic growth in Russia curbed demand for credit. The central bank kept the refinancing rate unchanged last week, matching the forecast of 14 out of 22 economists in a Bloomberg survey.
Sberbank’s gain extended its rally this quarter to 9.5 percent, and gave it an advance this year of 10 percent.
To contact the reporter on this story: Ksenia Galouchko in Moscow at firstname.lastname@example.org
To contact the editor responsible for this story: Wojciech Moskwa at email@example.com