The ruble: Oil and the stagnation of the Russian economy are the main reasons for the fall

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The Russian stock market ended trading on Thursday at the “red” zone remaining under pressure due to falling demand for ruble-denominated assets, resulting in low sales OFZ Finance Ministry, the decline in stock prices of Russian companies because of the resumption of falling oil prices and negative trends on world financial markets.
The leaders among the fallen in price securities at the end of trading were shares of petrochemical companies (-1.33%), oil (-0.67%) and consumer (-0.54%) sectors.
The MICEX index finished trading with a decline of 0.24% and closed at
2352.88 points. The RTS index fell by 1.47% and stood at 1083.47 points in the Wake of the resumption of the fall of the ruble against the dollar and the Euro.
The price of crude oil by the end of trading in Russia fell in the Wake of fears of falling demand for “black gold”, which is celebrated on the background of increasing oil production not only in States but also in Russia. North sea oil of mark BRENT by the end of trading in Russia fell by 2.53% to 55.79 per barrel.
West Texas WTI has fallen by 3.34% to 46.56 per barrel.
In the currency market the ruble to the end of the regular trading session strengthened the fall of the Euro and the dollar in the Wake of the failures of the placement of OFZ Treasury and the growth of demand in the foreign exchange market, the dollar against the commodity currencies. The USD/ruble with tomorrow calculation at the end of the trading session increased by 1.06% to 68.18 rubles per dollar. The Euro/ruble with tomorrow calculation jumped by 1.42% to 77.85 rubles for one Euro.
The expected continued weakening of the ruble, which remains under the double blow of Western sanctions and falling demand for OFZs from non-residents in the first ochred.
The events of the day:
Friday should pay attention to the publication of GDP data in the UK and USA for the 3rd quarter, the value of base orders for durable goods In the United States, core retail sales volumes and the October figures are GDP of Canada. In addition, data will be presented in the income and expenditure of individuals in America and a large package of statistics from the University of Michigan.
Sergey Kozlovsky,
Head of analytical Department,
Grand Capital