The rouble (RUB) strengthened on Wednesday, extending its recent gains and returning to levels achieved before Russia’s “special operation” in Ukraine.
Following a recent month-long hiatus, stocks edged up on the fifth market trading day.
The rouble stood 2% higher against the dollar (RUB/USD) at the time of writing, having reached 82.55 at the Moscow Exchange, which is the highest level since February 25, just the day after Russia launched tens of thousands of soldiers into Ukraine.
The rouble climbed 2% against the euro (RUB/EUR) to 92.30, after briefly reaching 90.73, its highest level since February 23.
According to the chief economist at Alfa Bank, Natalia Orlova, the rouble has now been driven by export-focused enterprises that are required to sell foreign exchange, as well as month- and quarter-end tax liabilities that stimulate demand of roubles, while importers’ business is low.
“This created an imbalance on the currency market as a result of which foreign currency supply substantially exceeds demand and thus leads to the firming of the (rouble) rate… I see the current (rouble) rate strengthening as temporary,” Orlova stated.
On the other hand, Gold also gained substantially today. At the time of writing, one ounce of gold was worth $1,925.40, up by 0.28% (gaining 5.40 points). The price of Gold has paced up due to increase in demand from Russia.
Another precious metal, Silver, has been gaining lately. The gain percentage is higher than that of Gold. At press time, one ounce of the metal was valued at $24.84, up by 0.40% (gaining 0.10 points) today.
Crude oil prices are pacing up too. Some days ago it rallied ahead and now masses are witnessing the same trend again. The Brent Crude was up by 3.26% and was valued at $113.8. The WTI futures have crossed the $100 mark already and now were up by 3.38% at $107.8 today morning.