Thursday, 4 August 2011

Russian Currency Reserves Rise to Highest Since October 2008

Russian Currency Reserves Rise to Highest Since October 2008 ; Russia's foreign-currency and gold reserves advanced $4.1 billion in the week ended July 29 to $435 billion, the central bank said in an e-mailed statement.

That's the highest level since October 2008, data compiled by Bloomberg show. Taking into account currency fluctuations and gold prices, the weekly increase was $1.8 billion, Vladimir Tikhomirov, chief economist at Moscow-based Otkritie Capital, said today in an e-mailed note to clients.

"Throughout the previous week, the Russian currency market saw a significant correction after the ruble appreciated against the bi-currency basket during the tax-payment period," Tikhomirov said. "The dynamics of the ruble exchange rate were mainly determined by weak global economic performance."

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