The Russian currency and stock market posted a week of gains as the price of oil rose, pushed by rising demand in Asia, the MICEX Index is at its highest level since October.
The MICEX Index, a reference in the Russian stock market compromising 30 of the most relevant stocks, rose above 1,000 for the first time since October, and also pushed by rise of the crude oil in New York, the Russian ruble posted sharp gains, to the point the central bank bought foreign currency to avoid the national currency to rally further. The Russian ruble had severe losses last year, being a major energy supplier of oil and gas for Europe, as the price of commodities went down, the national currency also lost space in international markets.
Economists are expecting months of improvements for the Russian economy, even if its currently facing a complicated scenario, with virtually no credit options, a rise in the price of oil could revive the Russian markets, which consequently would flow money to all sectors of the economy. At the same time that optimism is entering Russia, the world demand for stocks is still very unstable, which brings uncertainty for the Russian financial future.
The USD/RUB currency pair virtually has not changed being traded at 32.5055 from a previous price of 32.5660.
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