The ruble pared losses after falling to new record lows against the dollar and euro on Thursday, as Fitch and Moody’s downgraded Russia’s sovereign debt to speculative status, with measures taken by Russian financial authorities. unable to prevent the fall of the currency.
The ruble was stable in late trading on the Moscow Stock Exchange at 106.01 to the dollar, after hitting an all-time low of 118.35 to the dollar in a session of low liquidity and high volatility.
The ruble fell 1.9% to 117.6 per euro on the Moscow Stock Exchange after passing 125 per euro for the first time.
On the offshore market, at 16:27 (GMT), the ruble plummeted by around 11% at 108.3950 to the dollar and dropped by around 10% at 119.4375 to the euro.
The ruble’s decline continued even after the Russian central bank imposed a 30% tax on foreign currency purchases by individuals at exchanges – a move that brokers said appeared designed to curb demand for dollars.
Russia’s financial markets have been rocked by sanctions imposed over the invasion of Ukraine, the biggest attack on a European state since World War II.
Russia’s five-year credit swaps, which investors use to hedge against the country’s debt default risk, fell to 1,250 basis points on Thursday from a close of 1,321 basis points on Wednesday, but Ruble implied volatility indicators rose to new highs.
Source: CNN Brasil
I am Sophia william, author of World Stock Market. I have a degree in journalism from the University of Missouri and I have worked as a reporter for several news websites. I have a passion for writing and informing people about the latest news and events happening in the world. I strive to be accurate and unbiased in my reporting, and I hope to provide readers with valuable information that they can use to make informed decisions.
