Rouble at 32month low vs major currencies
Rouble39;s slide has caught economists off guard
Weak rouble fuels inflation
Weak rouble boosts state budget revenues
MOSCOW, Nov 27 Reuters The Russian rouble weakened beyond the 110 mark to the U.S. dollar on Wednesday, a threshold that some analysts believe could prompt authorities to take action to support the currency, which has fallen by more than 24 since early August.
The rouble39;s fall caught off guard economists who had expected the Russian currency to hit the 100 mark against the dollar in one year, according to the Reuters poll in early November. It hit a 32month low last week.
By 1300 GMT the rouble was down 3.42 at 109.10 against the dollar, after touching 111.20, according to LSEG data. It was down by almost 2 at 14.97 against the yuan, also the lowest level since March 2022, the first month of Russia39;s invasion of Ukraine.
The rouble39;s fall has been compounded by a fall of more than 20 in the stock market so far this year as investors shift their savings from stocks to deposits, which offer interest above the central bank39;s benchmark rate of 21.
The market is awaiting the financial authorities39; reaction for the rouble39;s devaluation, BCS brokerage analysts said, stressing that forex purchases resembled panic in an environment of uncertainty.
Analysts are now predicting that the rouble may hit 115120 before the end of the year, with some calling on the government and the central bank to take…