AGL 5.41 Decreased By ▼ -0.09 (-1.64%)
ANL 8.71 Increased By ▲ 0.02 (0.23%)
AVN 76.16 Increased By ▲ 0.32 (0.42%)
BOP 5.17 Decreased By ▼ -0.01 (-0.19%)
CNERGY 4.47 Decreased By ▼ -0.04 (-0.89%)
EFERT 81.21 Increased By ▲ 0.12 (0.15%)
EPCL 49.17 Decreased By ▼ -0.83 (-1.66%)
FCCL 12.69 Increased By ▲ 0.16 (1.28%)
FFL 5.59 Increased By ▲ 0.07 (1.27%)
FLYNG 6.98 Increased By ▲ 0.03 (0.43%)
FNEL 4.63 Decreased By ▼ -0.02 (-0.43%)
GGGL 8.59 Increased By ▲ 0.01 (0.12%)
GGL 14.06 Decreased By ▼ -0.19 (-1.33%)
HUMNL 5.49 Decreased By ▼ -0.10 (-1.79%)
KEL 2.60 Increased By ▲ 0.06 (2.36%)
LOTCHEM 27.75 Decreased By ▼ -0.23 (-0.82%)
MLCF 23.56 Decreased By ▼ -0.14 (-0.59%)
OGDC 71.45 Decreased By ▼ -0.19 (-0.27%)
PAEL 15.23 Increased By ▲ 0.14 (0.93%)
PIBTL 4.90 Increased By ▲ 0.01 (0.2%)
PRL 15.75 Decreased By ▼ -0.06 (-0.38%)
SILK 1.05 Decreased By ▼ -0.02 (-1.87%)
TELE 9.00 Increased By ▲ 0.06 (0.67%)
TPL 7.16 Increased By ▲ 0.13 (1.85%)
TPLP 19.14 Increased By ▲ 0.83 (4.53%)
TREET 20.99 Decreased By ▼ -0.04 (-0.19%)
TRG 136.92 Increased By ▲ 2.37 (1.76%)
UNITY 16.74 Increased By ▲ 0.11 (0.66%)
WAVES 9.10 Decreased By ▼ -0.22 (-2.36%)
WTL 1.37 Increased By ▲ 0.01 (0.74%)
BR100 4,155 Increased By 0.1 (0%)
BR30 15,335 Increased By 46.6 (0.3%)
KSE100 41,540 Decreased By -72.7 (-0.17%)
KSE30 15,365 Increased By 5 (0.03%)
Follow us

MOSCOW: The rouble rose more than 2% versus the dollar on Tuesday as Russia said some troops near Ukraine were returning to their bases after military exercises, easing concerns over a potential invasion that had fuelled a Russian asset sell-off last week.

Following days of US and British warnings that Moscow might invade its neighbour at any time, Russia’s statement that it was withdrawing some forces from near the border helped the currency, stocks and bonds rebound.

Russia has repeatedly denied it plans to invade Ukraine. NATO said it had yet to see any sign of de-escalation on the ground.

By 1252 GMT, the rouble was 2.1% stronger against the dollar at 75.15, close to recouping all losses sustained in the currency’s sharpest single-session drop in nearly two years on Friday.

The rouble strengthened 1.7% against the euro to 85.28 .

“Market sentiment remains highly fragile, so volatility is bound to stay high,” Sberbank CIB said in a note.

On Monday, the currency climbed after Russian Foreign Minister Sergei Lavrov suggested to President Vladimir Putin that Moscow should continue along the diplomatic path in its efforts to extract security guarantees from the West.

Dmitry Polevoy, head of investment at Locko Invest, said the currency’s reaction to those words showed that a single phrase can be sufficient to move the rouble strongly in either direction.

“We still believe the rouble is likely to rise from these levels,” he said, adding that the rouble has lagged other emerging market currencies by 5% to 7% this year.

One development that may complicate the currency’s growth trajectory was parliament voting to appeal to Putin to recognise two Russian-backed breakaway regions in eastern Ukraine as independent.

Recognition of the two regions could unravel the existing Minsk peace process for east Ukraine to which Russia has said it is committed.

Yields on Russia’s 10-year benchmark OFZ bonds eased to 9.81% after spiking above 10% for the first time since February 2016 on Monday. Yields move inversely to prices. Russian stock indexes were up, recovering after a sell-off in the previous two sessions.

Comments

Comments are closed.

Rouble leaps after Russia says some troops are returning to bases

Perishables worth $5.5mn stuck at Karachi port 'owing to dollar shortage'

Rupee remains under pressure, settles at 224.11 against US dollar

Sanaullah urges PTI leaders to use parliament for discussion on next general elections

Unity Foods to invest nearly Rs2bn in Sunridge Foods subsidiary

India well placed to face global headwinds: World Bank

Goldman Sachs on hunt for bargain crypto firms after FTX fiasco

Blast injures six near money market in eastern Afghan city

Oil prices fall on higher U.S. dollar, economic fears

China's Xi to visit Saudi Arabia from Wednesday: Saudi state media

Injured Pakistan pacer Haris Rauf out of England series