Data on the U.S. labor market has lowered risk appetite, the Euro fell in the area of 1.07 dollars, which weakened the Euro against the ruble. The ruble against the dollar traded under pressure against the background of weak dynamics of the oil market.
MOSCOW, 6 Nov. Dmitry Mayorov. Courses of the ruble against the dollar and to a lesser extent the Euro on Friday evening declined on weak performance of the oil market.
Strong data on the U.S. labor market has lowered risk appetite, the Euro crashing in the district level 1.07 dollars that weakened the Euro against the ruble.
The dollar calculations “tomorrow” to 21.37 GMT rose 1.04 ruble — to 64,49 of the ruble, the Euro by 0.27 ruble — to 69,23 ruble, follows from the data of the Moscow exchange.
The ruble has not changed for the week
The ruble against the dollar during the session on Friday traded under pressure amid weak dynamics of the oil market. The level of 50 dollars per barrel stood on this week, and the market again dropped to the lows from late October at data about growth of stocks in the U.S. for the sixth consecutive week.
The U.S. Department of energy announced that commercial oil stocks in the country (excluding strategic reserves) for the week ended October 30, rose to 2,847 million barrels, or 0.6%, to 482,8 million barrels. Oil production grew by 0.5% or 48 thousand barrels per day, up to 9,16 million barrels.
Data on U.S. labour market data for October released at 1630 GMT, changed the dynamics of the ruble exchange rate from sharp fluctuations of the Euro on Forex. The number of jobs in non-agricultural industries increased by 271 thousand, while analysts had expected growth rate of 184 thousand. The U.S. unemployment rate in October was 5%, with a forecast of 5.1%. Strong data on the labor market increased the probability of increasing rates by the fed, as the regulator promised to monitor the parameters.
In the end, the European currency has fallen in a short time by 1.5 per cent in the district of 1.07 dollars — the lowest level since the end of April. The ruble quickly compensated for the loss of the day against the Euro and strengthened against the falling dollar, which moved back above the key level 64 rubles.
As a result by results of the week the value of the currency basket (0.45 euros and 0.55 dollars) has changed little. The decline in the beginning of the week was compensated by its increase at the end. The dollar has made the greatest contribution to this growth.
Forecasts and recommendations
Early next week the dollar will probably attempt to consolidate above 65 rubles. However, additional foreign exchange liquidity to banks will give the Federal Treasury at the Deposit auction ($500 million), which may slightly bring down the demand for foreign currency, says Yuri Kravchenko from IK “Veles Capital”.
All the news drivers for the ruble, the dynamics of oil price, have been exhausted, says the head of the Department of financial management REU them. G. V. Plekhanov Constantine Orlov.
“Next week will already be less optimistic for the ruble, is expected to slow because the negative dynamics of the oil quotes and rising demand for foreign currency. However, with high probability the dollar will remain in their fair range 64-65 rubles”, — he added.