Current reaction of the ruble exchange rate to the decision of the Central Bank of the Russian Federation to increase The rate from the base rate of 200 basis points to 15% per annum is more of a psychological nature. This opinion was expressed by Alexander Bakhtin, investment strategist at BCS World of Investments, in a conversation with socialbites.ca.
“Basic market expectations assumed a smaller step in the rate hike. In fact, the effect of the increase is reflected in the ruble with a delay of one and a half months; rising lending costs are gradually shrinking demand, including imports. Overall, this is a moderate support factor for the national currency. “Monetary rigidity increases the possibility of the dollar exchange rate heading towards 90 rubles in the medium term,” he said.
However, the expert believes that energy prices, the state of the current account and the impact of regulatory rules, in particular standards for the sale of foreign currency earnings for exporters, are more important for the position of the ruble exchange rate. Locally, support comes from tax season, he added.
The ruble exchange rate increased sharply after the decision of the Central Bank of the Russian Federation to increase the key rate reinforced To the dollar and the euro.
Previously “socialbites.ca” saidHow does the key rate affect the lives of Russians?