Russia braces for weaker ruble, lower growth due to U.S. sanctions

Discussion in 'Gog / Magog' started by Almost Heaven, Aug 22, 2018.

  1. Almost Heaven

    Almost Heaven Well-Known Member

    Oreshkin became one of the first government officials to acknowledge that the latest bout of sanctions and the risk of further such measures would take a toll on Russia’s economy after the Kremlin dismissed the ruble’s fall to its weakest levels since 2016 as simple market volatility.
    The issue of the sanctions theme, the crisis that we see in Turkey, the ongoing problems in Argentina and Brazil, all these will clearly affect the Russian market,” he told reporters.

    On Wednesday, the ruble weakened towards its lowest mark in more than two years as traders priced in the risk of more U.S. sanctions and foreign currency purchases by the Russian central bank took their toll.

    The U.S. Treasury imposed sanctions on various Russian entities on Tuesday, and a new tranche of sanctions announced by the U.S. State Department earlier this month was expected to take effect later on Wednesday.

    The ministry used to expect the Russian ruble to average around 61 per dollar this year, weakening to an average of 63-64 in 2019. It now fetches 67.96 to the dollar, having shed more than 8 percent of its value so far this month.

    He also said inflation in Russia was likely to exceed earlier expectations due to a worse-than-expected grain harvest and the weaker ruble.
  2. sara ann

    sara ann Well-Known Member

    is this going where I think? Oil?
    athenasius and John Romans like this.
  3. vbf

    vbf Well-Known Member

    A cornered bear never behaves well
  4. athenasius

    athenasius Well-Known Member

    Sooner or later I think it is.
    bigmoose likes this.

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