🥇 First rule of investing? Know when to save! Up to 55% off InvestingPro before BLACK FRIDAYCLAIM SALE

Rouble steadies near 61 vs dollar with upcoming rate decision in focus

Published 24/10/2022, 07:26 pm
© Reuters. FILE PHOTO: A Russian one rouble coin is pictured in front of a monitor showing St. Basil's Cathedral and a tower of Moscow's Kremlin in this illustration taken June 24, 2022. REUTERS/Maxim Shemetov/Illustration
USD/RUB
-

MOSCOW (Reuters) - The Russian rouble stabilised on Monday, supported by a favourable month-end tax period and the prospect of upcoming dividend payments, which also pushed stocks higher, as investors looked ahead to Friday's central bank rate decision.

At 0806 GMT, the rouble was unchanged against the dollar at 61.29. It had gained 0.1% to trade at 60.17 versus the euro and shed 0.5% against the yuan to 8.35.

The rouble is buttressed by a month-end tax period that usually sees export-focused firms convert foreign exchange revenues into roubles to pay domestic tax liabilities.

The role of tax payments and dividends of Russian companies payable in November should help the rouble continue its general strengthening trend towards 60 against the greenback, said Dmitry Polevoy, head of investment at Locko Invest.

The Bank of Russia is in focus, having cut its key rate six times this year after an emergency hike to 20% in February as Russia sent tens of thousands of troops into Ukraine, causing inflation to spike.

Last month the bank cut rates to 7.5%, but omitted guidance about studying the need for future reductions.

Brent crude oil, a global benchmark for Russia's main export, was down 1.3% at $92.3 a barrel.

Russian stock indexes were rising.

"The market will be supported by expectations of the start of dividend (payments) from Gazprom (MCX:GAZP) and Tatneft, which should provide fuel for developing the index's growth," said Promsvyazbank in a note.

The dollar-denominated RTS index was up 1.4% at 1,064.7 points, its strongest since Oct. 6. The rouble-based MOEX Russian index was 1.3% higher at 2,070.3 points.

© Reuters. FILE PHOTO: A Russian one rouble coin is pictured in front of a monitor showing St. Basil's Cathedral and a tower of Moscow's Kremlin in this illustration taken June 24, 2022. REUTERS/Maxim Shemetov/Illustration

For Russian equities guide see

For Russian treasury bonds see

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.