The dollar exchange rate on Forex exceeded 105 rubles

At the day’s high, the dollar was trading at 105.5 rubles on Forex, 1.5 rubles higher than the previous day’s closing price. At the time of this publication (11:24 Moscow time), the American currency was worth 105.35 rubles, and its price increased by 1.36 rubles.

The euro exchange rate on Forex on Tuesday, November 26, exceeded 110 rubles. At 11:24 Moscow time, the European currency was worth 110.48 rubles, 1.33 rubles more than the previous close.

In the Russian interbank market the dollar was also trading above 105 rubles. At 11:24 Moscow time it was worth 105.07 rubles, an increase of 1.1 rubles compared to the previous close. The euro costs 110 rubles and its price increases by 1.24 rubles.

The day before, the Central Bank set the official exchange rate for the US currency for November 26 at 103.79 rubles and the euro at 108.87 rubles. On November 25, they were 102.58 rubles and 107.42 rubles, respectively.

“The devaluation of the ruble since the beginning of autumn has exceeded 20%. In recent days there has been an acceleration in the depreciation of the national currency. Volatility has increased, the amplitude of exchange rate fluctuations already exceeds 2%, which indicates an increase in the feeling of panic,” says Mijaíl Zeltser, an expert at BCS Express.

According to him, a whole series of factors are working against the Russian currency, including “tough geopolitics”, new sanctions against financial infrastructure and a shortage of domestic liquidity. In conditions of “intense emotions” in the market, predicting “the bottom of the ruble and the highs of foreign currencies is extremely problematic,” the expert said.

With greater confidence, he said, we can say that the devaluation of the ruble increases the chances of tightening the Bank of Russia’s policy, accelerating inflation due to rising import prices and worsening inflationary expectations of individuals and companies. “Most likely, at the December 20 meeting the Central Bank will have to raise the interest rate again,” Zeltser concluded.