AIRLINK 175.55 Decreased By ▼ -2.01 (-1.13%)
BOP 11.01 Decreased By ▼ -0.04 (-0.36%)
CNERGY 8.29 Increased By ▲ 0.12 (1.47%)
FCCL 47.23 Decreased By ▼ -0.09 (-0.19%)
FFL 16.02 Decreased By ▼ -0.10 (-0.62%)
FLYNG 27.31 Decreased By ▼ -0.04 (-0.15%)
HUBC 142.32 Decreased By ▼ -4.59 (-3.12%)
HUMNL 13.30 Decreased By ▼ -0.21 (-1.55%)
KEL 4.44 Decreased By ▼ -0.06 (-1.33%)
KOSM 5.90 Decreased By ▼ -0.01 (-0.17%)
MLCF 61.80 Decreased By ▼ -0.22 (-0.35%)
OGDC 226.77 Decreased By ▼ -7.91 (-3.37%)
PACE 5.77 Decreased By ▼ -0.03 (-0.52%)
PAEL 44.80 Decreased By ▼ -1.61 (-3.47%)
PIAHCLA 17.88 Decreased By ▼ -0.24 (-1.32%)
PIBTL 10.47 Decreased By ▼ -0.10 (-0.95%)
POWER 12.02 Increased By ▲ 0.03 (0.25%)
PPL 185.92 Decreased By ▼ -5.88 (-3.07%)
PRL 37.16 Decreased By ▼ -0.16 (-0.43%)
PTC 24.05 Increased By ▲ 0.85 (3.66%)
SEARL 100.29 Decreased By ▼ -0.60 (-0.59%)
SILK 1.15 No Change ▼ 0.00 (0%)
SSGC 38.51 Decreased By ▼ -1.20 (-3.02%)
SYM 14.75 Decreased By ▼ -0.28 (-1.86%)
TELE 7.73 Decreased By ▼ -0.11 (-1.4%)
TPLP 11.03 Decreased By ▼ -0.08 (-0.72%)
TRG 66.00 Decreased By ▼ -1.29 (-1.92%)
WAVESAPP 10.97 Decreased By ▼ -0.38 (-3.35%)
WTL 1.35 Decreased By ▼ -0.01 (-0.74%)
YOUW 3.78 Increased By ▲ 0.01 (0.27%)
BR100 12,826 Increased By 19.4 (0.15%)
BR30 38,861 Decreased By -842.2 (-2.12%)
KSE100 118,792 Decreased By -146.5 (-0.12%)
KSE30 36,779 Increased By 22.6 (0.06%)

MOSCOW: The Russian rouble strengthened against the US dollar and the Chinese yuan on Monday with analysts saying that the market is still adjusting to new US financial sanctions and is not likely to react to an expected key interest rate hike this week.

By 0930 GMT, the rouble was up 0.9% at 104.50 against the dollar, according to over-the-counter market data from banks.

The rouble strengthened by 0.4% to 13.81 against the yuan in trading on the Moscow Stock Exchange.

The Russian central bank is set to raise its benchmark interest rate by another 200 basis points to 23% at its Dec. 20 board meeting, according to a Reuters poll of analysts, to fight inflation.

“The rouble’s volatility remains a direct consequence of external factors. The expected increase in the key rate is unlikely to have a noticeable impact on the rouble,” said Vladimir Evstifeev from Zenit Bank.

Russian rouble flat against dollar

The US sanctions, imposed on Nov. 22, hit Gazprombank, Russia’s third-largest lender, which handles payments for energy trade with Europe, disrupting foreign trade transactions and the supply of foreign currency to the Russian market.

The rouble lost up to 15% against the dollar after the sanctions but it then recovered much of those losses. One-day rouble/dollar futures, which trade on the Moscow Stock Exchange and are a guide for the over-the-counter exchange rate, were flat at 102.92.

The Russian central bank set an official exchange rate at 103.43 to the dollar.

One of Russia’s richest businessman, Vladimir Potanin, CEO of nickel and palladium producer Nornickel, said in an interview with RBC television on Dec. 14 that an exchange rate of 100 to 105 roubles to the dollar was justified.

“An exchange rate of 100 to 110 roubles per dollar, I believe, is something quite economically justified, something the country can live with. It is a kind of balance between budgetary interests and the interests of exporters,” he said.

Comments

200 characters