Thursday, 21 January 2016

Russian Ruble hit a new fresh record low



The continued pressure on oil markets deepened in today's trading the free fall of the Russian ruble to new record lows.
Around noon the Russian currency tumbled to a historic low of 85.9493 rubles for one US dollar,  after  yesterday broke easily the psychological level of 80 rubles and former record low around 80.10, which was achieved during the last major financial crisis in Russia in December 2014. Thus the Russian ruble depreciated by almost 15% only within the first days of this year.
Meanwhile, the euro rose for a short to 93.70 rubles approaching its historical peak of late 2014 around the level of 98 rubles.
The renewed sharp depreciation of the Russian ruble in the recent days is mostly due to the massive drop in oil prices by over 25% from the beginning of the current year to the lowest levels of 2003 and onwards.
A negative impact have also the indications by the Russian central bank earlier this week that it has no immediate plans to stabilize the local currency by conducting foreign exchange interventions since the collapse of the ruble was acquitted and does not threaten the financial stability.

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