The ruble strengthened and bonds denominated in dollars rose as oil, the country’s chief export earner, traded near a one-year high.
The currency appreciated 0.3 percent to 29.294 per dollar as of 10:17 a.m. in Moscow, paring yesterday’s 1.3 percent decline. The yield on Russia’s $3.5 billion of Eurobonds due 2020 fell four basis points, or 0.04 percentage point, to 4.074 percent.
Brent crude was little changed at $124.14 per barrel, within $2.08 of the highest price since April 2011. Oil and gas together contribute about 17 percent to Russia’s gross domestic product and 50 percent to state revenue, according to government estimates.
The ruble was little changed at 39.04 per euro and 0.2 percent stronger at 33.6665 against the central bank’s target dollar-euro basket. Investors pared bets on the currency weakening, with non-deliverable forwards showing it at 29.6723 per dollar in three months, compared with expectations of 29.7533 per dollar yesterday.
To contact the reporter on this story: Jack Jordan in Moscow at firstname.lastname@example.org
To contact the editor responsible for this story: Gavin Serkin at email@example.com