The ruble is not delighted at the return of the Bank of Russia on the currency market
On Wednesday afternoon the ruble returned to a weakening after a brief pause in the correction. By mid-afternoon, the greenback is trading at 67,42 RUB and rises in price 0.5%. Euro rises by half a percent and the costs of 76.11 RUB rates of the Central Bank of the Russian Federation on Thursday, November 29, are 66,94 RUB per U.S. dollar (+16 cents) and 75,51 rubles for Euro (-11 cents).
Commodity market again corrects the position. A barrel of North sea grade Brent crude is trading lower by 0.4% and costs $60,15. The investors selectively played data from the American petroleum Institute, focusing on the decline in gasoline stocks, while statistics on the growth of oil reserves left unattended. Now, apparently, it’s time to turn in quotes this time.
But the ruble, perhaps, reacts not it. It weakens in response to the plans of the Central Bank of the Russian Federation to resume purchases of foreign currency in the market since 15 January 2019, subject to maintaining the situation on the capital markets in its current form. The final decision will be announced at a meeting of the regulator on 14 December, but just talking about it not pop up the first time, so the issue has been resolved.
The demand for foreign currency from the strategic buyer is actually targeted intervention. In such circumstances, the behavior of the ruble will not be as volatile, what we have seen in recent months, but more structured and manageable.
The US dollar closed trading today in the range 67,10-67,85, the Euro will spend the rest of the day in the hallway 75,80-76.55 per RUB.