Lavrov weakened the ruble with words about breaking Russia’s relations with the EU – Finance

The statements by the head of the Russian Ministry of Foreign Affairs about a possible break in relations between Russia and the EU led to a sharp drop in the exchange rate of the Russian ruble.

The strengthening of the Russian ruble on the Moscow Stock Exchange, which lasted almost a week and a half, was interrupted during trading on Friday, reports The dollar, which had dropped to a 3-week low the day before, jumped by 80 kopecks in 2.5 hours, and the euro rose again above 90 rubles.

“This is related to the statement by Sergei Lavrov, who said that Russia is ready to break with the European Union,” explains Yevgeny Kogan, president of the Moscow Partners Investment Group.

In a live television interview, the foreign minister said that while Russia would not like to be in global isolation, it must “be ready” to sever relations with the EU if new “sanctions pose threats to the economy, including in the most sensitive areas” .

The Moscow stock exchange reacted unequivocally negatively to this statement. The dollar rose to 74.4075 ruble (+80 kopecks) and the euro rose to 90.06 rubles, adding 70 kopecks.

The day before it turned out that the European Union started to discuss sanctions in connection with the Alexei Navalny case, which “increased the pressure” on the Russian public debt market, write Sberbank CIB analysts.

The RGBI index, which tracks government bond prices, updated to its lowest level since April, falling to 150.24 points. It was beaten on Friday and this is the bottom – the index is losing another 0.29 percent. and remains at around 149.8 points.

– Information about the preparation of new personal sanctions in Brussels against officials and businessmen close to the Kremlin does not play a big role – says Dmitry Polevoj, investment director of Loko-Invest. In his opinion, the market is not afraid of personal sanctions, but actions against government bonds or sectors of the economy (such as the army, gas or space – ed.).

Source: by

*The article has been translated based on the content of by If there is any problem regarding the content, copyright, please leave a report below the article. We will try to process as quickly as possible to protect the rights of the author. Thank you very much!

*We just want readers to access information more quickly and easily with other multilingual content, instead of information only available in a certain language.

*We always respect the copyright of the content of the author and always include the original link of the source article.If the author disagrees, just leave the report below the article, the article will be edited or deleted at the request of the author. Thanks very much! Best regards!