Jump to content

Russia's ruble is the world's top-performing currency against the dollar but traders are revolting against Moscow's capital controls


Recommended Posts

Not good for the dollar. The bankers are trying to kill the ruble but it's too insulated for them to get very far on that since it's under capital control, protectionist policies, and not artificially inflated like most other currencies. Throw in the fact that the ruble is now backed by gold and home produced resources like oil along with Putler's policy of only selling their energy in the ruble and there's a huge problem here for the West.

I thought they told us that they were winning against Putler while prices for everything skyrocket? We also want to give Ukraine $40B which is basically Russia's entire military budget for a year. While we print money and produce almost nothing (Biden just killed more oil and gas leases) the only people being hurt are US citizens faced with record inflation that is so bad that's global now. It's almost like the whole strategy is to kill the US or the incompetence is so high that it's on a Range Leftard level. I can't figure out which.

#losing #feelstupidyet? #fjb #LOL@RangeLeftards

Russia's ruble is the world's top-performing currency against the dollar but traders are revolting against Moscow's capital controls

  • The Russian ruble is the world's top performing currency in 2022, as it's up 11% against the dollar. 
  • Amid wartime sanctions, Moscow has imposed capital controls to prop up its economy and currency. 
  • But currency traders are about to stop using the onshore exchange rate for some transactions.

 

The Russian ruble has turned into the world's best-performing currency this year, as its onshore rate is up more than 11% against the US dollar so far in 2022. 

The ruble is the biggest gainer among 31 major currencies, according to data tracked by Bloomberg, and has overtaken the Brazilian real, which is up 9% this year.

But the ruble's advance has come after Moscow imposed a slate of capital controls to prop up the economy to offset Western sanctions for its war on Ukraine. That means few investors are able to take profits from the currency rally out of Russia. 

The capital controls are in addition to Russia demanding ruble-payments for natural gas supplies from European nations, as well as forcing exporters to sell foreign-exchange holdings. 

Nonetheless, the success of the Kremlin's artificial market maneuvers has outperformed those of other nations like Argentina and Turkey when they attempted similar measures. 

But currency traders are about to stop using the onshore exchange rate for some transactions as the strict capital controls have produced a bigger spread compared to the offshore ruble rate.

Starting on June 6, the Trade Association for the Emerging Markets has recommended that traders use the rate from WM/Refinitiv to settle some derivative contracts, according to an April 20 statement that was reported by Bloomberg.

putin-popcorn-1.jpg

 

Sack "The Buffalo Range's TRUSTED News Source!"

“When a well-packaged web of lies has been sold gradually to the masses over generations, the truth will seem utterly preposterous and its speaker a raving lunatic.” ~ Dresden James

Parler @NYexile

 

 

 

Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

 Share

×
×
  • Create New...