Market Buzz: Ruble devaluation not in Russia's interest
After sinking more than 1.6 percent on Thursday, the MICEX
recovered to 1,424.22, up 0.18 percent and the dollar-based RTS
index improved 0.54 percent to 1,389.73.
Ruble futures still show the currency weakening 0.5 percent
against the US dollar, after gaining 0.8 percent last week.
Speaking at the G-20 meeting in Moscow, Finance Minister Anton Siluanov confirmed Russia has no ambition to artificially strengthen or weaken the ruble, and are interested in maintaining supply and liquidity.
"It's not in our interest to have sharp fluctuations of the
ruble. We are for the ruble to be fluctuating within the narrow
corridors that have been created,” said Siluanov.
Oil futures continue to trade high on Asian sessions as crude WTI
is up 0.01 percent at $108.05 but Brent is down 0.58 percent at
108.07. Oil futures will continue gains on strong US economy
New York floors closed the week on a high, as the Dow Jones rose
by 0.5 percent, the S&P index by 0.7 percent, and NASDAQ down
0.4 percent. Positive earnings from Fortune 500 companies lifted
economic morale- US investors pumped more than $17.5 billion into
US equity funds, the most since 2008, which sent the S&P
index soaring to a record $15 trillion.
The US will publish private sector data on home sales on Monday, an element in Monday’s trading.
On the other side of the pond, European markets are in the red. The EURO STOXX 50 is down 0.07 percent at 2,716.17, France’s CAC is down 0.06 percent at 3,925.32, and the DAX has slipped 0.07 percent to 8,331.57. Britain’s FTSE index is rallying up 0.44 percent at 16,124.36.
Asian stocks are trading high on Shinzo Abe’s secured victory in
the weekend election for Japan’s upper house of parliament.
Stocks may also be high on China’s central bank’s decision to
remove the lower lending limit for banks.
The Nikkei has gained 0.16 percent and the Hong Kong Sang Index
has edged up 0.08 percent.
Australia’s ASX 200 surged at market open, but has slowed its
growth to a positive 0.50 percent to 4,996.90, continuing its
strong July session.