Another escalation of geopolitical stories may hold back interest in the ruble

The strengthening of the Russian currency took place in the conditions of neutral dynamics of oil prices and mixed sentiments on world markets. In the midst of such a lull, highly profitable strategies have again become in demand.

The dollar rate at the close of the exchange was 57.70 rubles. (-14 kopecks), EUR exchange rate — 68.22 rubles. (-35 kopecks). On the international foreign exchange market, the dollar strengthened slightly against the euro, reacting to statistics on wholesale prices in September. At the end of the day, the main currency pair dropped by 30 bp to $ 1.1830.

Trading on the foreign exchange market was held in favor of the ruble yesterday.

Oil prices reacted weakly to the data on the decline in US inventories, however, information from China on the growth of imports of «black gold» in September by 13% m / m may cause an increase in quotations in the coming days. Against this background, the ruble may receive support, which will be further supplemented by the entry of exporters to the market with the sale of foreign currency before the main taxes are paid on October 25.

The ruble remains dependent on global demand for high yielding assets. Taking into account the decline in inflation, real ruble rates look attractive, but the next escalation of geopolitical stories may restrain interest in the ruble.

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