MOSCOW: The Russian rouble firmed on Tuesday, supported by month-end tax payments and higher oil prices. The rouble gained 0.2 percent to 59.03 against the dollar as of 0734 GMT, inching towards the 58.93 it hit on Monday, its strongest level since July 21. A lull in geopolitical pressures and a gradual decline in U.S. and German bond yields has propped up demand for emerging markets, particularly Russia, Rosbank, a subsidiary of Societe Generale, said in a note. Key payments, value-added tax and a mineral extraction tax, are both due on Friday. Brent crude oil, a global benchmark for Russia’s main export, rose 0.5 percent to $51.94 a barrel. Against the euro, the rouble gained 0.4 percent to 69.62.
Russian stock indexes also went higher. The dollar-denominated RTS index was up 0.1 percent to 1,035.8 points, while the rouble-based MICEX added 0.2 percent to 1,942.3. “We still expect the MICEX index to get back to 1,950,” Promsvyazbank said in a note. Shares in Sberbank and Mechel looked attractive, Promsvyazbank said. The country’s top lender and metals producer are both set to report their earnings on Wednesday.
