Ruble collapsed by 60% last March when they invaded Ukraine, but is now the strongest performer of 2

May 12, 2022
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Ruble collapsed by 60% last March when they invaded Ukraine, but is now the strongest performer of 2022 (a 2-year high of 64R/1USD)

Spending of reserves, being an exporter of petrol, having gas buyers buy in Rubles, doubling interest rates and limiting capital flows, and talking about backing the Ruble with gold and other commodities are factors contributing to its rising valuation.

Russia has energy, so that's not cramping their style like in some oil importing countries (price has been rising over the past year significantly). Russian consumer appears still strong.

However, the future. The economy (GDP) is guessed it will shrink 10% in an upcoming recession. Financial sanctions take months or years to take effect, they're not immediate.

The other currencies that have appreciated against the USD this year are the Brazilian Rial and (a lot) and the Mexican Peso (a little bit). All other currencies have depreciated against the USD this year, the most depreciation seen by Egypt's Pound, Argentine's Peso, Japanese Yen, Turkish Lire, and some other Eastern European money.

#Russia #MIC
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<div><b>Ruble collapsed by 60% last March when they invaded Ukraine, but is now the strongest performer of 2022 (a 2-year high of 64R/1USD)</b><br></div><div><br></div><div>Spending of reserves, being an exporter of petrol, having gas buyers buy in Rubles, doubling interest rates and limiting capital flows, and talking about backing the Ruble with gold and other commodities are factors contributing to its rising valuation.</div><div><br></div><div>Russia has energy, so that's not cramping their style like in some oil importing countries (price has been rising over the past year significantly). Russian consumer appears still strong.<br></div><div><br></div><div>However, the future. The economy (GDP) is guessed it will shrink 10% in an upcoming recession. Financial sanctions take months or years to take effect, they're not immediate. <br></div><div><br></div><div>The other currencies that have appreciated against the USD this year are the Brazilian Rial and (a lot) and the Mexican Peso (a little bit). All other currencies have depreciated against the USD this year, the most depreciation seen by Egypt's Pound, Argentine's Peso, Japanese Yen, Turkish Lire, and some other Eastern European money.</div><div><br></div><div><a href="http://landandseajournal.com/post/hashtag/Russia"><a href="http://landandseajournal.com/post/hashtag/Russia">#Russia</a></a> <a href="http://landandseajournal.com/post/hashtag/MIC"><a href="http://landandseajournal.com/post/hashtag/MIC">#MIC</a></a> <br></div> <br><img src="/assets/post_imgs/1652400592_Screenshot_2022-05-12_23-40-30.png" class="appended-img"><br>
Ruble collapsed by 60% last March when they invaded Ukraine, but is now the strongest performer of 2022 (a 2-year high of 64R/1USD)

Spending of reserves, being an exporter of petrol, having gas buyers buy in Rubles, doubling interest rates and limiting capital flows, and talking about backing the Ruble with gold and other commodities are factors contributing to its rising valuation.

Russia has energy, so that's not cramping their style like in some oil importing countries (price has been rising over the past year significantly). Russian consumer appears still strong.

However, the future. The economy (GDP) is guessed it will shrink 10% in an upcoming recession. Financial sanctions take months or years to take effect, they're not immediate.

The other currencies that have appreciated against the USD this year are the Brazilian Rial and (a lot) and the Mexican Peso (a little bit). All other currencies have depreciated against the USD this year, the most depreciation seen by Egypt's Pound, Argentine's Peso, Japanese Yen, Turkish Lire, and some other Eastern European money.

#Russia #MIC

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