Sunday, May 17, 2015

The Bank of Russia resumes foreign exchange intervention – Chechnya | News |

 The dollar exchange rate against the ruble fell below the psychologically important mark

Currency rates have already reacted to the decision Central Bank: the dollar and the euro slightly more expensive. The official rate of the dollar rose by 54 kopecks. and once again exceeded 50 rubles. sostavav 50.08 rub. / dollar., although the day before he fell to the level of November last year. In the event of significant changes in the currency market volume of transactions may be adjusted. This is stated in a statement the regulator published on Thursday.

Should we do it? The Central Bank has bought about $ 181 million to 8.9 billion rubles, which corresponds to its targets. In these circumstances, it can be said that the ruble today excessively overvalued and the Central Bank with such position, seem to agree.

We attribute the decision of the Central Bank on the purchase of foreign currency in the market, not only the need to feed the next signal the undesirability of further strengthening rubles. The volume of the Central Bank to buy up the currency is quite small, it is more a signal that the regulator is not satisfied overpriced ruble. The operations will be distributed evenly throughout the day. Experience shows that in times of panic the population most often loses rather than gains due to exchange rate fluctuations. However, the dynamics of the ruble is not seriously affected. This “verbal intervention”, which is increasingly “exercising” the CB.

The operations will be carried out on a daily basis in the amount of 100-200 million dollars. However, after 12:00 rate was at the level of 50 rubles ./$ .

«devaluation of the ruble can not solve the problems that we are now seeing in the economy.” This was facilitated by the action of the Bank of the Russian Federation, sharply raised its key interest rate and offer the market a new, including foreign exchange, financial instruments, and the stabilization of oil prices at the world market level near $ 60 a barrel, and reduced public interest in the events in the south-east Ukrainian state.

Whether the ruble will fall in price by the end of the year?

Now the behavior of exchange rates in the Russian market longer determined by economic factors than political.

«Formally, the Central Bank does not has the objective of the course – can not set itself any intermediate or some other purpose to weaken the ruble. ” As for oil, then yes, it can go lower. Still in good shape were emerging market currencies – their code against the dollar rose another 0,7%.

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