MOSCOW Reuters - The Russian rouble fell against the dollar ahead of three treasury bond auctions by the finance ministry on Wednesday, hurt by reduced FX supply after the passing of a favorable month-end tax period, but supported by higher oil prices.
The rouble was 0.4% weaker against the dollar at 61.50 and had gained 0.1% to trade at 60.69 against the euro at 0738 GMT. It had lost 0.2% against the yuan to 8.42.
The rouble has lost the support of month-end tax payments, which usually see exporters convert foreign currency revenues to pay local liabilities.
Banki.ru chief analyst Bogdan Zvarich said today that the rouble is expected to recover its morning losses in the course of trading.
The rise in oil prices may permit purchases in the national currency to make a recovery over the course of the session and allow the rouble to make a recovery over the course of the session, despite a lower supply of foreign currency from exporters. The price of crude oil, a global benchmark for Russia's main export, was up 0.7% at $95.3 a barrel.
The finance ministry, which already exceeded its fourth-quarter borrowing plan, plans to hold three OFZ treasury bond auctions later on Wednesday.
The dollar-denominated RTS index was down 0.9% at 1,108. It has 62 points, its strongest since Sept. 30, a level scaled in the previous session.
The Russian MOEX index was 0.5% lower at 2,163. After hitting a near five-week high of 2,185, 3 points were scored. On Tuesday, there were 60 points.