The Russian currency remains volatile Wednesday after it suffered its own ‘Black Tuesday’ losing about 20 percent. The ruble strengthened to 61 rubles per 1 USD, before settling near 62 at market close in Moscow.
For the sake of the Russian economy, the Central Bank cannot continue its waiting game strategy for too long hoping that speculators give up before it does, says Mike Ingram, a market strategist at BGC Brokers in London.
The current ruble exchange rate does not correspond to the macroeconomic situation, Russia’s Economic Development Minister Aleksey Ulyukaev said, adding that market players now need a new set of guidelines.
Chancellor George Osborne has welcomed the global fall in oil prices, calling the drop a “net positive” in providing UK consumers with cheaper sources of energy, while applying political pressure on Russian President Vladimir Putin.
The plunging ruble is a signal for the Russian economy to adapt to new conditions, Russia’s Central Bank Chair Elvira Nabiullina said, following the surprise midnight decision to hike the key interest rate to 17 percent.
Lawyers representing the credit card processor used by WikiLeaks are suing Visa and MasterCard in the United States over the 2010 banking blockade that kept the anti-secrecy group from receiving funds.
The US Financial Industry Regulatory Authority (FINRA) has fined 10 major banks, including Goldman Sachs and Morgan Stanley, $43.5 million for letting analysts fake research on Toys “R” Us in return for investment banking deals.
The House of Representatives voted to pass a massive spending bill that will keep the government running into next year, narrowly avoiding a shutdown as Republicans and Democrats spent the night at odds over various provisions.