The ruble continues to dive down under the pressure of external negativity
The threat of disrupting trade between the US and China continues to keep global investors in suspense. This is evidenced by the further decline in European stock markets followed Asia in trading on Monday. However, this did not prevent the Russian market to break into plus, largely due to higher oil prices. In the second half of day the index of RTS Mosberg and increased by 0.48% and 0,30% respectively.
Brent oil prices rose to levels near $ 72 a barrel on geopolitics. The purchase of futures accelerated on news from the Middle East. In particular, the Minister of energy of Saudi Arabia Khalid al-falih said that two oil tankers which were required to be submitted in the United States, was attacked off the coast of Fujairah — one of the Emirates of the UAE. However, if the problem is quickly resolved, the impact of this factor will immediately come to naught, and quotes risk a return to the decline of anxiety about trade wars.
The ruble, meanwhile, opened with a gap down after the long holiday weekend and losing about 0.3% against the currency basket. The pair dollar/ruble has encountered resistance in the area of 65.50 RUB and tempered enthusiasm, although it remains above the levels of Friday’s closing. The dollar on the Forex basically is reduced, which constrains the pressure on the Russian currency as a surge in oil prices. However, downside risks, given the continued flight to defensive assets remain.
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