The ruble's plunging again
Reuters/Yuri Maltsev
On Wednesday, the ruble slipped nearly 2.7% to a 6-week low of 54.26 rubles.
The currency's plunge follows reports of fighting with "heavy artillery and tanks" in the Donetsk-region towns of Maryinka and Krasnohorivka after a relatively quiet three-month period.
"Any sign of an escalation of the conflict in Ukraine is going to cause concern in the Russian markets," William Jackson, an analyst at Capital Economics Ltd. told Bloomberg. "It increased the likelihood that sanctions may be renewed or extended."
Furthermore, oil prices fell on Wednesday. Brent crude dropped 2% (getting as low as 2.7% during the day), while WTI fell 1.8%.
Bloomberg
The ruble's been the best-performing currency this year following the rebound in oil prices and the relatively quiet ceasefire in Ukraine.
It even got so strong at one point in May, the Central Bank announced that it would start buying $100-$200 million per day to replenish reserves.
But if the conflict in Ukraine heats up, and/or oil prices plunge again, the ruble may fall again.
- I spent $2,000 for 7 nights in a 179-square-foot room on one of the world's largest cruise ships. Take a look inside my cabin.
- Colon cancer rates are rising in young people. If you have two symptoms you should get a colonoscopy, a GI oncologist says.
- Saudi Arabia wants China to help fund its struggling $500 billion Neom megaproject. Investors may not be too excited.
- Catan adds climate change to the latest edition of the world-famous board game
- Tired of blatant misinformation in the media? This video game can help you and your family fight fake news!
- Tired of blatant misinformation in the media? This video game can help you and your family fight fake news!
- JNK India IPO allotment – How to check allotment, GMP, listing date and more
- Indian Army unveils selfie point at Hombotingla Pass ahead of 25th anniversary of Kargil Vijay Diwas