Rouble is steady

Apr 13th, 2010 | By | Category: Rouble News

Having hit a new 15-month high on Monday, the rouble steadied in trading today. However, analysts predict that it is likely to strengthen again when monthly tax payments are due and by the upcoming roadshow for Russia’s Eurobond.

Russian exporters are expected to convert their euro and dollar currency into roubles to meet tax payments which are due to be paid in Russia from this Thursday – a situation which arises every month and which boosts the rouble.

A dealer at one of the Russian banks in Moscow explained: “Selling (of foreign currencies) from clients is inevitable. Banks are likely to take short positions in the basket.”

At 7.15 GMT this morning, the rouble was trading at 33.74 against the euro-dollar basket, 7 kopeks away from what is presumed to be the latest boundary of the central bank’s floating currency corridor. On Monday, the floating band shifted for the 27th time in the last two months, in response to the rouble’s strong position against the dollar.

Analysts are predicting that the upward trend of the rouble is likely to continue as both external and internal factors favour this.

Today the rouble was up 1 kopeck against the dollar, at 29.03, and was little changed against the euro, showing at 39.48 on the MICEX exchange

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