Dollar plunges to all-time low

The U.S. dollar hit a record low against the Euro and a two-year low against the yen on Wednesday, after the U.S. Federal Reserve gave a pessimistic outlook on growth in the U.S. next year.

The dollar's also weaker against the rouble.

The weakening of the American currency also pushes up the oil price.

U.S. crude oil hit a record high of $US 99 a barrel in overnight trading, although it retreated on Wednesday.

Analysts say higher prices will be both good and bad for Russia.

“Oil products are the major export commodity in Russia. If oil prices increase, export revenues will increase and this will boost overall growth. On the other hand, a large inflow of dollars will create more inflationary pressure on the Russian economy,” said Vladimir Osakovsky from Aton Capital.