The dollar exchange rate on Forex exceeded 109 rubles

At the time of this publication (11:56 Moscow time), the dollar on Forex was worth 108.9985 rubles. On the interbank market, the US currency was trading at 108.076 rubles (+2.64 rubles).

The euro exchange rate on Forex exceeded 114 rubles, reaching its highest level since March 2022. At 11:56 Moscow time, the European currency was worth 114.55 rubles (+3.889 rubles). In the over-the-counter market, the euro was trading at 113.89 rubles and its price rose by 3.227 rubles.

Since the beginning of autumn, the Russian currency has depreciated by more than 20%. “The sharp fall of the ruble is due to both objective factors of violation of export and import payment mechanisms in the context of sanctions, rising yuan rates and decreased currency liquidity, and geopolitical factors,” BCS World of Investments analysts point out.

According to them, this trend indicates panic in the market, which should be followed by a reaction from the financial authorities. “These could be both verbal interventions and real measures to stop panic through an expanded currency supply, for example, based on revenue repatriation standards or adjustments to the budget mechanism,” the experts suggested.

They added that under current conditions, the probability of another increase in the key rate at the meeting of the Board of Directors of the Central Bank on December 20 remains “very high.”