RTS and Moscow Exchange indices decline 1.36-1.44% on Wednesday
The dollar grew by 0.03% to 73.73 rubles, the euro decreased by 0.06% to 90.07 rubles
MOSCOW, May 19. / TASS /. The Russian stock market declined in the middle of the week on the deteriorating external background and the fall in oil prices. By the end of trading, the Moscow Exchange index went down by 1.44% to 3634.76 points, the dollar-denominated RTS index by 1.36%, to 1552.91 points.
The dollar grew by 0.03% to 73.73 rubles, the euro decreased by 0.06% to 90.07 rubles. Another wave of sales swept through the global stock exchanges due to fears of a move to higher rates in the United States earlier than basic expectations, investors were fixing profits before the publication of the April Fed meeting minutes, said Alexander Bakhtin, investment strategist at BCS World of Investments. Also, despite the general decrease in the daily incidence of coronavirus in the world, mortality remains high - about 10,000 people d
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Weekly Fundamental US Dollar Forecast: Rise in US Treasury Yields May Not Help Greenback; April NFP Due
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Fundamental Forecast for the US Dollar: Neutral
The drop in the US Dollar has occurred even as US Treasury yields have stabilized (if not turned higher), suggesting that rising inflation expectations – not real US yields – are behind the move, which has historically been bad for the greenback.
The main economic event of the week will be the April US non-farm payrolls report due out on Friday, May 7.
According to the IG Client Sentiment Index, the US Dollar has a mixed bias heading into the first week of May.