Friday, March 24, 2023
Market-Reporter
  • Home
  • Markets
    • U.S. Markets
    • Canada
    • Europe & Middle East
    • Emerging Markets
    • Asia
    • Latin America
  • Investing
    • Stocks
    • IPOs
    • Mutual Funds
    • ETFs
    • Bonds
    • Commodities
    • Currencies
    • Cryptocurrencies
  • Economy & Politics
    • Personal Finance
    • Spending & Saving
    • Retirement
    • Real Estate
No Result
View All Result
  • Home
  • Markets
    • U.S. Markets
    • Canada
    • Europe & Middle East
    • Emerging Markets
    • Asia
    • Latin America
  • Investing
    • Stocks
    • IPOs
    • Mutual Funds
    • ETFs
    • Bonds
    • Commodities
    • Currencies
    • Cryptocurrencies
  • Economy & Politics
    • Personal Finance
    • Spending & Saving
    • Retirement
    • Real Estate
No Result
View All Result
Market-Reporter
No Result
View All Result
Home Emerging Markets

EMERGING MARKETS-Russian c.bank raises key rate, lifting rouble, as EM currencies pare gains

MtR by MtR
June 11, 2021
in Emerging Markets
0


* More rate hikes this year – Russian central bank

* Rouble hits 71.50 after rate hike

* Turkish lira cuts gains, last up 0.3%

* Dollar edges higher (Recasts after Russian central bank decision)

June 11 (Reuters) – Russia’s rouble hit session highs on Friday after the central bank raised its key rate amid rising inflation, while a recovering dollar saw most other emerging market currencies pare some gains.

The rouble hit 71.50 after the central bank raised the rate by 50 basis points to 5.50% and said more rate hikes through the year were likely, with inflation above target.

The rouble was last trading up 0.3% at 71.63 to the dollar.

“Given the CBR has been quite open in their communication around further rate hikes being imminent this year, aggressive rouble appreciation over the medium term is unlikely,” said Ima Sammani, an EM FX analyst with Monex Europe.

“However, we expect the (central bank’s) decision to still moderately support the rouble going forward.”

The dollar edged higher from a fall spurred by investors looking past higher than anticipated U.S. inflation on Thursday. MSCI’s index of EM currencies stayed at its highest on record. {FRX/}

Turkey’s lira jumped as much as 1.9% before giving up some gains to trade up 0.3%, setting itself up for its best week in nearly three months.

During U.S. President Joe Biden’s visit to Europe, investors hope that he and Turkish counterpart Tayyip Erdogan will discuss differences over Ankara’s planned purchase of Russian S-400 air defence systems which are incompatible with NATO’s defences.

Turkish bonds were on their longest winning streak since November and are now back within touching distance of where they were before Erdogan sacked hawkish central bank governor Naci Agbal back in March.

Reduced implied volatility also aided inflows into the lira, as did a central bank survey that showed the forecast for 2021 GDP growth had been raised to 4.9% from 4.3%. Official data showed Turkish industrial output surged 66% year-on-year in April, exceeding forecasts and expanding for an 11th straight month.

South Africa’s rand ZAR- rose as much as 0.6%, before cutting some gains to trade up 0.2%. Its rise was not enough to pull the best performing EM currency this year into the black for the week.

As well as a general consolidation in FX markets this week, South Africa was officially declared to be in its third wave of COVID-19 infections on Thursday, as the continent’s worst-hit country registered 9,149 new cases.

Stocks in the developing world were also on a stronger footing as investors bought into the U.S. Federal Reserve’s view that a period of higher inflation was transitory.

MSCI’s EM stocks index rose 0.3%, bringing it to positive territory for the fourth straight week – its longest winning streak since January.

For GRAPHIC on emerging market FX performance in 2021, see tmsnrt.rs/2egbfVh For GRAPHIC on MSCI emerging index performance in 2021, see tmsnrt.rs/2OusNdX

For TOP NEWS across emerging markets

For CENTRAL EUROPE market report, see

For TURKISH market report, see

For RUSSIAN market report, see

Reporting by Susan Mathew in Bengaluru; Editing by Simon Cameron-Moore and Nick Macfie



Source link

Related articles

It’s The Liquidity, Stupid – How Macroeconomics Shapes A Portfolio

It’s The Liquidity, Stupid – How Macroeconomics Shapes A Portfolio

August 10, 2022
Four graphs explaining…emerging market equities

Four graphs explaining…emerging market equities

August 10, 2022

Related Posts

It’s The Liquidity, Stupid – How Macroeconomics Shapes A Portfolio

It’s The Liquidity, Stupid – How Macroeconomics Shapes A Portfolio

by MtR
August 10, 2022
0

Whether a market is being shaped by fresh central bank liquidity or by banks taking liquidity out of an economy...

Four graphs explaining…emerging market equities

Four graphs explaining…emerging market equities

by MtR
August 10, 2022
0

Andrew Hardy Momentum Global Investment Management director of investment management The Chinese equity market has roughly halved since its peak...

Jefferies sees 15% correction in Indian markets; adds Zomato to portfolio

Jefferies sees 15% correction in Indian markets; adds Zomato to portfolio

by MtR
August 10, 2022
0

Web Exclusive In the past one month, the S&P BSE Sensex and the Nifty50 have gained around 8 per cent...

Letter: Why Fed’s rate rise failed to rattle emerging markets

Letter: Why Fed’s rate rise failed to rattle emerging markets

by MtR
August 10, 2022
0

One of the key reasons that we haven’t yet seen the capital outflows normally experienced by emerging market economies (EMs)...

‘The rupee is a better-performing currency against the dollar on a trade-weighted basis’: Sajjid Chinoy

‘The rupee is a better-performing currency against the dollar on a trade-weighted basis’: Sajjid Chinoy

by MtR
August 9, 2022
0

Sajjid Chinoy, Chief India Economist, JP Morgan and part-time member, PMEAC, on tackling challenges of rupee depreciation, getting rid of...

Load More
  • Trending
  • Comments
  • Latest
Bank of England tells ministers to intervene on digital currency ‘programming’

Bank of England tells ministers to intervene on digital currency ‘programming’

June 21, 2021
Tips for checking smoke alarms during daylight saving time

Tips for checking smoke alarms during daylight saving time

March 12, 2022
GLOBAL MARKETS-U.S. stocks follow Europe up; Treasury yields rise, dollar firm

GLOBAL MARKETS-U.S. stocks follow Europe up; Treasury yields rise, dollar firm

July 9, 2021
What will Durham County education bonds pay for? A full list

What will Durham County education bonds pay for? A full list

July 8, 2022
African currencies week ahead: Zambia's kwacha seen on back foot, Kenyan shilling up – Business Recorder

African currencies week ahead: Zambia's kwacha seen on back foot, Kenyan shilling up – Business Recorder

0
Maxum Foods releases Global Dairy Commodity Update for June

Maxum Foods releases Global Dairy Commodity Update for June

0
Letter: Perpetual bonds can help states fight hunger

Letter: Perpetual bonds can help states fight hunger

0
United Kingdom ETFs Are Riding the Re-Opening Momentum

United Kingdom ETFs Are Riding the Re-Opening Momentum

0
Investment in overseas real estate surges : The DONG-A ILBO

Investment in overseas real estate surges : The DONG-A ILBO

August 11, 2022
U.S. inflation CPI report, Wall Street, currencies

U.S. inflation CPI report, Wall Street, currencies

August 10, 2022
Alberta oil production set new record in first half of 2022

Alberta oil production set new record in first half of 2022

August 10, 2022
Industrial Lubricants Market to Reach $71 Billion by 2027.

Industrial Lubricants Market to Reach $71 Billion by 2027.

August 10, 2022

Recent News

Investment in overseas real estate surges : The DONG-A ILBO

Investment in overseas real estate surges : The DONG-A ILBO

August 11, 2022
U.S. inflation CPI report, Wall Street, currencies

U.S. inflation CPI report, Wall Street, currencies

August 10, 2022
Alberta oil production set new record in first half of 2022

Alberta oil production set new record in first half of 2022

August 10, 2022

Categories

  • Asia
  • Bonds
  • Canada
  • Commodities
  • Cryptocurrencies
  • Currencies
  • Emerging Markets
  • ETFs
  • Europe & Middle East
  • IPOs
  • Latin America
  • Mutual Funds
  • Personal Finance
  • Real Estate
  • Retirement
  • Spending & Saving
  • Stocks
  • U.S. Markets
  • Privacy & Policy
  • About Us
  • Contact Us
  • Advertise with us

© 2021 Copyright Market-Reporter

No Result
View All Result
  • Home
  • Markets
    • U.S. Markets
    • Canada
    • Europe & Middle East
    • Emerging Markets
    • Asia
    • Latin America
  • Investing
    • Stocks
    • IPOs
    • Mutual Funds
    • ETFs
    • Bonds
    • Commodities
    • Currencies
    • Cryptocurrencies
  • Economy & Politics
    • Personal Finance
    • Spending & Saving
    • Retirement
    • Real Estate

© 2021 Copyright Market-Reporter