Rouble steady ahead of bond auctions, stocks rebound
- U.S. statistics on consumer spending and third quarter GDP due later on Wednesday are in focus.
- The rouble could gain support from Wednesday's weekly OFZ treasury bond auctions by the finance ministry.
- The next Russian central bank rate decision is on Dec. 13.
MOSCOW: The Russian rouble was steady on Wednesday, with global market activity expected to be lower than usual ahead of the Thanksgiving Day holiday in the United States.
At 0742 GMT, the rouble was almost unchanged against the dollar at 63.98 and had gained 0.1pc to trade at 70.44 versus the euro.
U.S. statistics on consumer spending and third quarter GDP due later on Wednesday are in focus.
Brent crude oil, a global benchmark for Russia's main export, was down 0.2pc at $64.2 a barrel.
The rouble could gain support from Wednesday's weekly OFZ treasury bond auctions by the finance ministry, whose lucrative yields have been popular with foreign investors this year.
Yields on Russia's 10-year treasury bonds, which move inversely to their price, are close to a six-year low of 6.31pc, reached earlier in November, but have risen to 6.36pc since then.
In offering the 2024 treasury bond for the first time since February, the finance ministry has "naturally switched its attention to the short section of the curve," Rosbank analysts said in a note.
The next Russian central bank rate decision is on Dec. 13.
In the local market, the rouble should also receive a small boost from Russian exporters buying the currency to pay taxes on profits due on Thursday.
Russian stock indexes were up, with a Reuters poll on Wednesday forecasting a stocks rally ahead for the Russian market.
The dollar-denominated RTS index was up 0.4pc to 1,446.6 points. The rouble-based MOEX Russian index was 0.3pc higher at 2,938.3 points.
Alfa Bank analysts said Russian stocks were due a recovery after recent underperformance, as confidence in a U.S.-China trade deal strengthens.
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