The US dollar is going up rapidly

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The American dollar is rapidly rising in the international market. The Finance Ministry held a successful auction of OFZ. The Ministry of economic development sharply downgraded forecasts for the economy.
The US dollar resumed its growth on the international currency market Forex. The reason for this growth is the interest in American government bonds. Investors in the international markets today prefer not to take risks and invest in risk-free government bonds of the States. This leads to an increase in demand for the American currency.
The Russian Ministry of Finance recently held a successful auction of OFZ. Demand for securities was much greater than supply. But in order to make this possible, the Minister Anton Siluanov had to make to investors “discount” and sell the paper cheaper than the market price. Overall, for the second quarter, the Finance Ministry has not fulfilled its plan for raising money in Russian government debt. Foreign investors have abandoned investment in Russia after the April sanctions and falling ruble.
Against this background, this morning the dollar on the MICEX give 63 rubles 30 kopecks, the Euro is trading around 73 rubles 5 kopecks. The MICEX index rose to 2260 points, and quotations of mix Brent have exceeded a mark of 77 dollars per barrel. Exchange rate for bitcoin according to the website CoinMarketCap is around $ 6,100.
Prospects of the Russian economy is extremely vague. To such conclusion came the Ministry of economic development. The Ministry Maxim Oreshkin has presented a new forecast for 6 years. Lowered forecasts in almost all macroeconomic parameters. GDP in 2018 will grow by only 1.9%, instead of the previously expected 2.1 percent. In 2019 the growth will be only 1.4% (previously expected 2.2 per cent). The ruble is weaker than anticipated even in spite of a positive revision of forecasts on oil. This year the Ministry is waiting for 61 rubles to the dollar, and in the future, 62 of the ruble.
We believe that already this summer will be no easy for the domestic currency. Most likely by September we will see new highs in the USD/ruble.
Gleb Zadoya,
the head of the analytical Department of the company,