The ruble highs, but risks start falling
The ruble rose again on Tuesday, and in tandem with the Euro has updated a maximum more than a year. Euro/ruble sank for the day 0.33% up 71,50 RUB on the background of a sharp weakening of the single currency on Forex. The us dollar meanwhile fell by 0.13% in moment referring to the level 63,65 RUB.
Our currency continues to feel the double support of the oil market and the tax period. Brent has updated the highs of 2019 is already beyond the level 74 of the dollar and partially corrected.
Today in the morning session, the dollar index continues to retreat, and hence the support for this factor for the ruble is starting to fade on signs of profit taking. If in the near future the prices will not resume growth, it will be a signal that at this stage the bulls are exhausted and need to be further strengthened concerns about shortage of supply.
Also the risk of a rollback of the ruble in the short term, says the deterioration in investor sentiment. After the rally on wall street, Asia stocks came under pressure, which, coupled with the growing demand for the dollar could exert local pressure on the Russian currency at the beginning of today’s session.
______________________ Gennady Nikolaev
Academy of management Finance and investment