The Ruble collapsed another 2% today breaking above 45 for the first time ever as Bank of Russia's Deputy Governor Ksenia Yudaeva suggested their policy was "quite close" to free floating the currency and desperately tried to jawbone the currency. She suggested that further rate increases were possible, that interventions were part of the "policy package" when repo tool ramps up and, most notably, Moscow could use some of its national foreign currency or even gold bullion reserves [3] – now the world's fifth largest hoard – to pay for buying imports if Western sanctions over Ukraine continue.
- *BANK OF RUSSIA WILL MEET 2016-2017 INFLATION TARGET: YUDAEVA
- *YUDAEVA: RUBLE SEEN STABILIZING BY YEAR END
- *BANK OF RUSSIA'S POLICY QUITE CLOSE TO FREE FLOAT: YUDAEVA
- *YUDAEVA: WE ARE GRADUALLY MOVING AWAY FROM USING CORRIDOR
- *YUDAEVA: WE ARE GRADUALLY MOVING AWAY FROM USING CORRIDOR
- *RUBLE INTERVENTIONS CHANGE PART OF POLICY `PACKAGE': YUDAEVA
- *BANK OF RUSSIA DOESN'T EXCLUDE FURTHER RATE INCREASES: YUDAEVA
USDRUB just broke above 45 for first time ever
[4]
which makes you wonder
[5]
Charts: Bloomberg
