Russian ruble on Wednesday abruptly turned to decrease
Russian ruble on Wednesday abruptly turned to decrease. So, the USD / RUB pair gained in one day 64 pennies, at some point within the day exceeding 64.50, and closed Wednesday at 64.32. EURRUB showed a much more modest increase of 26 cents to 71.76 in order casavis 72.
On the international currency market has been an increasing demand for the dollar, which rose to two-year highs against a basket of key world currencies. This increase is very often leads to increased pressure on the currencies of developing countries that we have said on other occasions.
For some time the ruble could swim against the current, but these periods are usually very short, what we witnessed yesterday.
It is also worth noting the increased trading volume in the currency section of Masuri. It is a sign of the desire of players to take profits from the previous rally the Russian currency against the dollar and the Euro. Often, the increase in strong movements and acts as the acknowledgement signal of movement. In our case, this can be regarded as a reversal signal on the growth rate. Dynamics of oil, on the other hand, can keep this retreat: Brent returned this morning to the area above 74 dollars per barrel and remains near six-month highs.
However, the growth factor of the dollar could be key for the dynamics of the Russian currency and world markets in General, potentially risking to start the process of profit-taking after the impressive rally since the beginning of the year.
The saying “sell in may and go away” in this case can be fully displayed.