Ruble Slide to Record on Oil Rout Spurs Russia Intervention Bets
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The ruble tumbled to a record for a second day, prompting speculation Russia’s central bank intervened to slow the rout as weaker oil prices worsen the outlook for an economy verging on recession. Government bonds slid.
The currency lost 3.3 percent to 58.36 per dollar at 1:46 p.m. in New York today after touching an all-time low of 58.526. It’s heading for the biggest weekly decline since the aftermath of Russia’s 1998 debt default, according to data compiled by the Moscow Exchange and Bloomberg. The central bank bought rubles earlier today to stem the losses, according to OAO Bank Otkritie. Ten-year government bond yields jumped 48 basis points to a record.