Rouble firms past 63 vs dollar in Moscow, hits fresh 5-year high vs euro

div classBodysc17zpet90 cdBBJodivpReuters – The Russian rouble firmed past 63 per dollar in Moscow on Friday for the first time since early February 2020 and touched a fresh fiveyear high versus the euro, supported by continuing restrictions on currency trading. p

pThe rouble has become the worlds bestperforming currency this year thanks to artificial support from capital controls that Russia imposed to shield its financial sector in late February after sending tens of thousands of troops into Ukraine.pdivdivdiv classBodysc17zpet90 cdBBJodiv

pAt 0723 GMT, the rouble was steady against the dollar at 63.32, earlier touching 62.6250, its strongest mark since Feb. 5, 2020, but banks are offering to buy roubles at much weaker levels.p

pPromsvyazbank analysts said that they expected the rouble to jump higher early on Friday, but that it would likely return towards 65 to the dollar towards the end of the session as market players close positions going into the weekend. p

pThe rouble had lost 0.8 to trade at 65.80 versus the euro, moving away from 64.9425, which it touched in early trade. That was its strongest since mid2017. p

pThe rouble is driven by exportfocused companies that have to convert their foreign currency revenues, while demand for foreign exchange is limited as imports into Russia have waned amid disruption in logistics and sweeping Western sanctions.p

pPresident Vladimir Putin on Thursday cited the rouble rally as an example of Russias sound performance under sanctions.p

pRussian stock indexes fell.p

pThe dollardenominated RTS index was down 0.3 at 1,136.8 points, earlier touching its strongest point since Feb. 22. The roublebased MOEX Russian index was 0.4 higher at 2,287.9 points.p

pFor Russian equities guide seep

pFor Russian treasury bonds seep

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pp Reporting by Reutersp

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