The Russian ruble on Monday hit its highest level against the dollar since last October, touching 62.1672 at about 6:30 a.m. ET.
It has backtracked slightly since then, and is up 0.8% at 62.3694 per dollar as of 11:25 a.m. ET.
The ruble’s strength comes as Brent crude oil is trading above $50 a barrel.
Notably, Russian officials aren’t necessarily happy to see a stronger ruble given that the weaker currency ended up helping Russia’s economy. Perhaps most notably, while the state-owned energy sector’s costs are mostly in rubles, its revenues are in dollars.
And, for what it’s worth, when the ruble had previously strengthened in July, Russian President Vladimir Putin drew attention to its appreciation.
As for the rest of the world, here’s the scoreboard as of 11:33 a.m. ET:
- The British pound was down by 1.1% at 1.2836 against the dollar to the lowest level since July 6 following British Prime Minister Theresa May Sunday statement the UK would trigger Article 50 – i.e., the process of separating the UK from the European Union – before the end of March 2017. “While the latest dip in sterling has partly reflected concerns over the prospect of a ‘hard Brexit,’ the currency’s depreciation should continue to cushion the economic impact of the vote to leave the EU,” argued Capital Economics’ Jonathan Loynes in a note. The pound has fallen by about 13% this year. The US dollar index is up by 0.3% at 95.75 after the Institute of Supply Management’s latest data showed that American manufacturing rebounded from contraction in September. However, the so-called Big Three US automakers -Ford, GM, and Fiat Chrysler – reported sales declines during the month of September. The Japanese yen is down by 0.2% at 101.55 per dollar after Japan’s Tankan Larger Manufacturers Index came in at 6 for the third quarter, below expectations of 7, while the Tankan Large Non-Manufacturers Index came in at 18 as expected. The Chinese yuan was officially added to the International Monetary Fund’s SDR basket on Saturday. The Colombian peso opened sharply lower – down 2.7% – following Sunday’s referendum result during which Colombian voters rejected a peace deal negotiated over the last four years between the government and the country’s largest rebel group, FARC. The currency has since retraced some of its losses, and is now off 1.7% at 2,931.50 per dollar. The Mexican peso is up by 0.2% at 19.3464 per dollar.