The dollar rose against the ruble 44 kopecks, the market is in the negative
The growth stresses associated with the overheated US stock indexes, are increasingly emerging-market currencies fall “under the distribution”. The Argentine peso is aiming to beat the record of the Turkish Lira, the decline in 2018. Pesos this year fell by more than 50% competing in this record with the Turkish Lira as the currencies with the worst dynamics in emerging markets. I must admit that the extraordinary measures taken by the Central Bank, the Latin American countries to raise interest rates from 45% to 60%, did not stop the drop “Argentine”.
Analysts-latinoamerikanski say that the lack of a clear and consistent strategy of development of the second largest country in South America makes investors to lose faith in the government of President Mauricio Macri. Something like we are seeing in regard to the political consequences of the fall of the Turkish Lira in the context of the political space of the Turkish Republic.
Meanwhile, is another hotbed of chaos currency is the Rand. Yesterday in tandem with the dollar it has lost 1.8% since the beginning of September, the currency of South Africa has fallen in price on 6,6%. As in the above cases, as the main reasons cited political instability after the resignation of the government of Zuma in the background of the economic problems associated with the drop in export earnings because of lower prices for metals and diamonds.
Russian ruble falls today also. Most of the pressure, the Russian currency is traditionally exposed to in the morning right after the open. Today opened with a gap from about 68.13 to 68,44 rubles per dollar – the truth, then, as yesterday, the weakening has slowed down and reigned in his technical “sideways”.
Speaking about the pressures on the Russian ruble in the first place comes to mind is yesterday’s paradigmatic phrase of the head of the Central Bank Elvira Nabiullina that there are preconditions for increasing interest rates (which will probably happen at the next meeting of the Bank of Russia on 14 September; in any case, the market looks like, not a single analyst who would have expected the continuation of the course taken to reduce the cost of money).
It happened once the day before, the Central Bank jointly with Rosstat has published statistics indicating the growth of inflationary expectations of the Russians until the end of the year. Inflation is accelerating under the influence of the weakening of the ruble, the dynamics of which is additionally influenced by the above-mentioned deterioration of the situation in emerging markets.
The hints Nabiullina on interest rate yield on 10-year OFZ bonds rose to 8.84% – so now the Finance Ministry to avoid raising its target level for the rate of cut-off in upcoming auctions of government securities. Reluctantly raise rates on deposits with Russian banks.
“International financial center”