At 60.55, the Russian rouble was weaker than the US dollar by 0.1%. The rouble was up 59.99 against the euro by 1.1% following a dramatic shift at the opening of the market.
The previous week was the last day for month-end tax payments, in which exporters from Russia often exchange their foreign currency gains into roubles to give to the state. As the Nord Stream pipeline is scheduled for maintenance this week, which might also affect the rouble overall, there are no substantial factors that can boost the Russian rouble.
Russia, claiming turbine repair concerns, has reduced streams via Nord Stream 1 to only 20% and intends to completely close the pipeline from the 31st of August until the 2nd of September. It is accused by the European Union of exploiting gas as a means to retaliate against sanctions imposed by the West due to the instigation of war.
The Russian currency has outperformed all other currencies in 2022, helped by the emergency capital curbs that the central bank implemented in an effort to stop a sell-off of an immense magnitude.
While experiencing dramatic fluctuations, it incurred a historic low of 121.53 versus the greenback in March of 2022, shortly after Russia deployed tens of thousands of soldiers into Ukraine on the 24th of February. Since then, its volatility has decreased. After that, it surged to 50.01, its highest level in 7 years, two months ago.
The rouble may likely become more volatile once more. Starting from August 29, Moscow Exchange will no longer take dollars as transactional collateral, and it plans to resume morning opening in the next month. Additionally, the central bank has loosened bank FX regulations.
The indicators of Russian stocks were rising. The MOEX Russian index (the rouble-denominated gauge), increased to 2,279.3 pts, its greatest level in two months, while the RTS index, which is denominated in the US dollar, increased to 1,186.5 pts by a total of 0.3%.
