Bloomberg News

Ruble Surges to Highest in Two Weeks as Oil Climbs on U.S. Jobs

August 03, 2012

The ruble strengthened to its highest in more than two weeks after oil, Russia’s chief export earner, rallied after U.S. payrolls climbed more than economists estimated.

The Russian currency appreciated 1.5 percent to 32.02 per dollar by the 6:45 p.m. close in Moscow, its highest level since July 19.

Crude oil rallied as much as 4.3 percent to $90.91 a barrel in New York. U.S. payrolls added 163,000 last month, beating the 100,000 increased predicted in a Bloomberg survey, Labor Department figures showed today in Washington.

“The ruble depends on oil, it’s supporting it,” Dmitry Mikhailov, who manages $130 million in assets at Renaissance Capital in Moscow, said by phone.

The ruble gained 0.2 percent to 39.50 per euro and strengthened 1 percent to 35.3635 against the central bank’s target dollar-euro basket. Investors pared bets on the currency weakening, with non-deliverable forwards showing the ruble at 32.6031 per dollar in three months, compared with expectations of 33.1600 per dollar yesterday.

European Central Bank President Mario Draghi yesterday declined to intervene in bond markets, while China’s central bank said it will pursue “prudent” policy, and the Federal Reserve a day earlier refrained from adding fresh stimulus.

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net


China's Killer Profits
LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus