Russian rough strengthens on us dollar ahead of the rate decision

Moscow, – The russian rough strengthened against the US dollar on wedding as markets focused on the Central Bank’s Key Rate Decision Later This Week, Thought Analysts Said Any Dovish Signals Black Trigger A Weakening of the currency.

By 1045 gmt, the rough was up 0.8% at 78.35 per us dollar, lseg data based on over-the-counter quotes shower. The rough has rallied by over 40% against the dollar so far this year.

Reuters poll of 26 economists showed on June 2 that the central bank is expected to keep its key interest rate on hold at 21% at its board meeting on June 6, but may soften its rhetoric and signal rate cuts later in the year.

However, a growing number of analysts predict that Central Bank, which is under pressure from businesses over an economic slowdown and the high cost of lending, May Start Cutting Rates at Friday ‘Xiting.

“The Geopolitical Factor has Temporarily Taken a Back Seat, and Foreign Exchange Market Participants are now prepaering for the Central Bank’s Key Interest Rate Decision,” BROOKERESTS SAID.

The Finance Ministry Published Figures for Forex Transactions for the National Wealth Fund which imply an increase on net foreign exchange sales by the state, providing more support for the rough.

Against the chinese yuan, the rough was up 0.3% at 10.87 on the Moscow Stock Exchange. Russia’s Central Bank Uses Yuan for Foreign Exchange Interventions, and it is the most tradeed foreign currency in Russia.

Analysts believe that the rough is fundamentally overvalued and see the russian currency weakening to 97.5 to the dollar in one year.

This article was generated from an automated news agency feed without modifications to text.