The lowest rate since default
On October 30, 2014, the Russian rouble fell sharply against the US dollar and EUR (dollar-euro basket), being now drastically lower, boosted by anticipated changes - the Central Bank of Russia is reportedly looking into possibility to introduce control over the capital flows, RBK-Ukraine (РБК-Україна) reports.
As is said, the rouble has sharply dropped against the two-currency basket up to 44.47, being lower than 44.40, the level from which the Central Bank of Russia starts unlimited intervention in the market to defend the national currency.
The rouble’s value against the US dollar has fallen by 0.52% - up to 39.64, however, it has lowered against euro only by 0.05% – up to 50.06.
Panic spurred by the announcement of Bloomberg citing the information source at the Bank of Russia saying that the Central Bank of Ukraine considers possibility to introduce limitations on cash flows with the view of stemming capital outflows. The Bloomberg agency’s announcement says that the Central Bank is still examining this issue, and the decision has not been passed yet. According to this information, the Russian regulator will undertake another step only in case of rapid increase in net outflows.
The Bank of Russia has not officially confirmed it yet; the rate of the Russian rouble to US dollar stabilized, it went down to 39.52, by evening.
The rouble to dollar rate in the ІІІ quarter of 2014 dropped more than 16%, with 6.5% - in September, being the worst result for the16 recent years.
