Rouble boosted by oil price recovery, Russian tax demands

24 Dec, 2018

At 0752 GMT, the rouble was 0.8 percent stronger against the dollar at 68.38, moving away from 69.13, its weakest level since mid-September hit on Friday.

Versus the euro, the rouble gained 0.5 percent to 77.84 versus.

"In the run-up to the Christmas and New Year holidays, risk-sentiment will still likely remain vulnerable," analysts at VTB Capital said in a note.

Brent crude dynamics will be the most important driver for the rouble, while month-end tax payments "will likely provide some breathing space for it from the local side," VTB Capital said.

Brent crude oil, a global benchmark for Russia's main export, rose 0.6 percent to $54.14 a barrel, up from this year's low of $52.79 touched on Friday.

Local month tax payments usually prompt export-focused companies convert their revenues on the market in order to meet local duties, which supports the rouble.

Russian stock indexes were down.

The dollar-denominated RTS index was 0.12 percent lower at 1,075.8 points, while the rouble-based MOEX Russian index shed 0.5 percent to 2,334.3 points.

Copyright Reuters, 2018

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