MOSCOW: The Russian rouble was steady in early trade on Monday, retaining support from high oil prices and the peak of local tax payments. On the stock market, shares of food retailer Magnit underperformed, losing 3 percent, extending losses of the previous week when the company reported a 53 percent drop in net profit in the third quarter. At 0755 GMT, the rouble was 0.04 percent stronger against the dollar at 57.46 and had gained 0.28 percent to trade at 67.55 versus the euro . Brent crude oil , a global benchmark for Russia’s main export, was up 0.19 percent at $57.86 a barrel. The rouble saw support from local monthly tax payments that will reach a peak on Wednesday. To meet these, export-focused companies usually convert their dollar revenues into roubles.
According to a Reuters survey of analysts and economists, these payments could reach 1.28-1.79 billion roubles ($22.26-31.14 million) in October. The upside pressure on the rouble, however, was offset by local demand for dollars, Rosbank, a subsidiary of Societe Generale, said in a note. The central bank will hold a regular rate-setting meeting on Friday where it is widely expected to cut the key rate from the current 8.5 percent. Balance of risks in Russia’s economy suggests there is room for lowering the key rate over the next few quarters, the central bank said last week. Russian stock indexes were little changed. The dollar-denominated RTS index was up 0.1 percent at 1,135.8 points, while the rouble-based MICEX was 0.03 percent lower at 2,071.2 points.
