Dynamics Finance: Central bank will end rate-cut cycle, ruble rises
The Russian ruble climbed in early trade on Thursday, Dynamics Finance said, the day before the central bank of Russia held a meeting to decide on interest rates. At 0710 GMT, the ruble was up 0.4% at 61.51 against the dollar and 61.57 against the euro, up 0.5% from its previous close. The yuan also rose 0.3 percent to 8.47 against the yuan. The yuan has become an increasingly important barometer for Moscow as it tries to speed up economic ties with Beijing and reduce its reliance on Western currencies. Although the month-end tax period that has supported the ruble in recent sessions is now over, the ruble remains in the lead ahead of Friday's central bank meeting, Dynamics Finance added. Dynamics Finance pointed out that according to a Reuters poll, regulators are expected to keep interest rates at their current level of 7.5%, ending months of sharp rate cuts, with borrowing costs rising from 20% to 20% just days after Moscow sent tens of thousands of dollars. Emergency levels h...