Russian rouble up thanks to high oil prices and weaker dollar

By Kitco News / October 12, 2018 / www.kitco.com / Article Link

MOSCOW, Oct 12 (Reuters) - The Russian rouble firmed to itsten day high supported by a recovery in oil prices and weakerU.S. dollar that was pressed by declining U.S. treasury yieldsand a sell-off on the global markets.At 0756 GMT, the rouble was 0.46 percent stronger againstthe dollar at 65.96 , hitting its highest levelsince Oct. 3 at 65.85, and had gained 0.41 percent to trade at76.50 versus the euro .Oil prices recovered from a two-day fall with support fromrobust Chinese crude imports, and helped the Russian currency tomake gains. Brent crude oil , a global benchmark for Russia'smain export, was up 1.18 percent at $81.22 a barrel.Sell-offs across global markets, which boosted the fall inoil prices, were fuelled by jitters over rising U.S. Treasuryyields and solid U.S. economic data that sparked concerns thatthe Federal Reserve would pick up the pace of its interest ratehikes. But the rouble maintained a range of 66-67 per dollardespite the deterioration in the global market sentiment, saidMikhail Poddubsky, an analyst at Promsvyazbank."With an improvement in the risk appetite today there is achance for another test of the lower border of this range," saidPoddubsky.Russian stock indexes recovered from a 3-week low they hitthe previous day in line with the sell-off on global markets.The dollar-denominated RTS index was up 1.63 percentto 1,142.57 points. The rouble-based MOEX Russian index was 1.08 percent higher at 2,392.30 points.For Russian equities guide see For Russian treasury bonds see (Reporting by Polina NikolskayaEditing by)

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