The ruble falls on the deterioration of the geopolitical situation
All weekend the focus of Fx markets in the world remained the British pound, as after a seemingly dead-end situation around future plans Brexit according to the British Prime Minister Theresa may, on Sunday came diametrically opposite news. On Sunday came the news that the EU leaders still supported the updated plan Brexit Theresa May, so that the British leader is close to a crucial vote on its proposals leading to the completion of this grueling multi-year process in March next year.
On the news, the pound strengthened against the dollar with 1,2795 to 1,2848 as of 13:30 GMT. Looks like the clouds over the “British” gradually dispersed, but the rapid and prolonged Renaissance we are not waiting due to poor secondary, especially economic ones, the consequences of this unprecedented protracted history.
Meanwhile, the Russian ruble on Masuria in the morning on Monday opened a noticeable fall – to 75,78 in tandem with the Euro and 66,70 in tandem with the dollar (with a minimum of 15 November) – what is the background of the falling dollar on global markets (the dollar index DXY as of 13:30 GMT traded at the level of 96,65, after reaching a peak 96,94 in the morning trading session in Asia), which, however, only partly related to news about the border conflict in the sea of Azov. On Friday, the ruble clearly looked outside the context of the “oil failure” that clearly foreshadowed the corresponding opening today’s trades in the domestic currency.
Thus, news about the armed conflict in the sea of Azov, in our opinion, was not the main, though certainly a very important factor influencing the exchange section of Masuri. However, after lunch the domestic unit is still a bit halted the decline, although the end of the story it did not name. The main thing now is to make sure that this incident will not develop the script of the conflict in Abkhazia and North Ossetia sample of 2008 year, while the efforts of the so-called “EU” (in fact, personally, MS Mogherini) seem to be directed at it.
In this sense, is scheduled for today evening to publish GDP data for Russia for October could be a reason for news to enhance the dynamics of the major currency pairs ruble, but given the above, hardly it will be. It looks like another day of merciless domination of geopolitics in all trades.
“International Financial Center”