MACROECONOMICS

Investment boom has begun in Russian economy, the president of Commercial and Industrial Chamber of the Russian Federation Academician Evgenie Primakov declared, according to materials of RIA News.

In conference "Russia in XXI century: new investment opportunities", opened on Monday in Tokyo, he noted that only for the first quarter of this year there were made $3,8 billion direct investments in Russian economy, that exceeds twice all last year's. "And, - the academician emphasized, it is not separate dot investments in oil and gas branches, but diversified, made in various spheres of industry and trade".

One more feature of a new stage of investment in Russia Evgenie Primakov named "investments are made not only into the center - Moscow, Moscow region and St.-Petersburg, but now and into different regions".

Index RUXX (Russian Industrial Leaders Index) on results of the tenders on Friday, on May, 26th, grew 6,88 % and made 631,8 points.

The index is calculated since January, 1st, 2006 in US dollars and is accessible in world trading systems since February, 1st, 2006. Initial value of the index made 500 points.

On results of the tenders on May, 26th Nasdaq index was up 0,55 % and made 2210,37 points, DJIA - up 0,6 % and made 11278,61 points, FTSE 100 index - up 2 %, French CAC 40 - up 1,93 %, German Dax - up 1,44 %.

RUXX represents a summary economic index of the Russian companies, which payment tools (shares, depositories) are placed at the largest world stock exchanges (New York Stock Exchange, London Stock Exchange, Nasdaq, AMEX). The index is calculated on a principle of weight according to exchange capitalization of the market on the 24-hour working day, which ends at 17.30 NYT. Values of the index are published daily at 17.55 New York time in system Dow Jones ITC 2.1 data feed, Chicago Board of Trade (CBOT). Changes of capitalization and weights of the share in the index happen quarterly.

MARKET’S GENERAL ASSESSMENT

Week in the Russian share market finished with the next inflow of investors’ optimism. Having opened with 2% gap up, practically all “blue markers” finished Friday session in a solid "plus", and RTS index reached almost 1500 points, having closed at a level 1495,11 points (+4,92 %). MISE index hiked 5,31 % - to 1341,99 points. LUKOIL quotations in Moscow Interbank Stock Exchange were up 6,26 % (+7,35 % in RTS), Tatneft - 2,45 % (+5,81 % in RTS), Sibneft - 5,73 % (+4,21 % in RTS), Surgutneftegaz - 6,84 % (12,70 % in RTS), Gasprom - 6,94 % (6,93 % in RTS), JSC"EES" - 5,79 % (+5,39 % in RTS), “NorNickel” - 4,67 % (5,07 % in RTS), Savings Bank - 2,83 % (+0,31 % in RTS). Total amount of tenders in RTS made 872,60 million dollars, in Moscow Interbank Stock Exchange - 3606,78 million dollars.

GASPROM

Corporate news.

Gasprom considers seriously an opportunity of construction of a gas main "Blue stream-2” two- or single-lane, the vice-president of Gasprom board Alexander Medvedev in the international conference “Energy dialogue Russia - European Union: gas aspect” informed on Friday in Berlin. At the subsequent press conference A.Medvedev explained that now this project is at a stage of the preliminary feasibility study and it shows that the project will have economic sense.

A.Medvedev reminded that Gasprom considers the opportunity of expansion of "Blue stream" for maintenance of deliveries in the countries of the Southern Europe, Israel and other countries of the Near East. He explained that capacity of a gas main can make either 8, or 16 billion cubic meters of gas a year. Now the gas main "Blue stream" on a bottom of Black Sea from Russia to Turkey, has capacity 16 billion cubic meters of gas a year.

GASPROM (RTS: GAZP), having reduced gas deliveries to home market and having allowed there independent gas producers, can increase export opportunities by 2010 on 160 billion cubic meters of gas a year without taking into account the Central Asian gas, NOVATECH Board chairman (RTS: NVTK) Leonid Mihelson declared at the international conference “Energy dialogue Russia - European Union: gas aspect” on Friday in Berlin. He noted that now independent producers produce only 14 % of total amount of gas production in Russia (90 billion cubic meters), but 27 % of gas stocks of the country.

Therefore, L.Mihelson considers by 2020 independent manufacturers can achieve a level of extraction of 250 billion cubic meters of gas a year that will make 29 % from a planned level of gas production in Russia. He emphasized that, according to already approved strategy and plan of development of the fields, independent manufacturers by 2010 can produce 150-160 billion cubic meters of gas a year, and about 30 % of this figure falls to "NOVATECH .

Technical analysis.

There were not any objective reasons to sell shares of the joint-stock company, therefore all analysts consider falling of papers to levels below 9 as technical correction. Recommendations hold good – orders, taken at levels 9,0, are kept.