Russia: Rouble strengthens further in February
March 1, 2012
On 29 February, the Russian rouble (RUB) traded at 28.95 per USD, which was 4.7% stronger than the last day of the previous month. The February increase followed on from the 5.2% rise recorded in January. The rouble has now appreciated an accumulated 9.6% versus the USD this year, and is now trading at virtually the same level it reached at end of February 2011. The February appreciation shadowed the upward trajectory of the price of Ural oil, Russia's main export commodity, which increased at the beginning of the year on the back of a more favourable global outlook. In addition, capital outflows which exerted downward pressure on the rouble at the end of 2011 continued to moderate, reaching USD 17 billion in January, according to a statement by Deputy Central Bank Chairman Alexei Ulyukayev. Ulyukayev added that capital movements may change sign in the coming months and that net capital inflow may be achieved in February or March.
Author: Armando Ciccarelli, Head of Data Solutions