Russian Ruble Weakens as Oil Prices Slump

AP ^ | 12 Jan 15 | AP

[elhombrelibre]

The Russian ruble is edging further down amid a continuing slump in oil prices.

The currency was down about 2 percent in morning trading in Moscow, floating around 62.8 rubles per dollar.

The ruble has been plunging under a combined blow of slumping oil prices and Western sanctions over Ukraine. Last year, it was the world's worst performing currency last year along with the Ukrainian hryvnia.

Last week, Fitch Ratings downgraded Russia to the lowest investment grade, citing a worsening economic outlook.

The government has predicted that the economy will drop by more than 4 percent this year if oil prices remain at their current level.

Russia's central bank has tried to stem the ruble's decline by sharply raising its key interest rate and selling its reserves.

[elhombrelibre]

Ruble Drops on Oil as Russia Credit Risk Climbs After Fitch Cut

http://www.businessweek.com/news/2015-01-12/ruble-drops-on-oil-as-russia-credit-risk-climbs-after-fitch-cut

[thackney]

[elhombrelibre]

Russia’s Soaring Misery Index Masks Real Pain

http://www.bloomberg.com/news/2015-01-11/russia-s-soaring-misery-index.html

[Old Sarge]

Did I not read something this morning to this effect?

Obola was interviewed on NPR stating that America is intentionally dropping the crude price to inflict damage on Russia.

Soon as I find the link, I’ll post it up.

[Sacajaweau]

“To inflict damage on the US oil industry...in addition to denying Keystone.....

[thackney]

America is intentionally dropping the crude price

I would like to see that link. US doesn't "control" prices. Our rising production is a major factor in pushing prices down. Not the same as us setting the price.

[Old Sarge]

Soon as I locate it, I’ll post it and ping you!

[blam]

Crude Oil Is Crashing Again ($46.77)

[elhombrelibre]

It'll be interesting to see how the markets react in the US as oil continues to decline. In the long term, it should be good for American consumers. In the short term, a lot of US industries will be hurt.

[SunkenCiv]

Thanks elhombrelibre.

• Putin Handed Over $8 Billion In Contracts To His Russian Oligarch Friends
• How 'Putin's Kleptocracy' Made His Friends Rich
• Russian Money Suspected Behind Fracking Protests
• Putin's New Weapon In The Ukraine Propaganda War: Internet Trolls
• Putin's New Propaganda Invades Upper West Side (But At Least My Kids Speak Russian)
• 'Buckwheat panic' Grips Russians As Economic Sanctions Bite
• Russia: Prostitutes hike prices as rouble falls
• Russian ruble weakens as traders see no major measures in Putin speech
• Russia risks Soviet-style collapse as rouble defence fails
• Oil Prices, Sanctions and Currency Collapse Put Putin in a Bind
• Vladimir Putin's woes are about to get worse
• Russian Ruble Crashes to World's Worst-Performing Currency
• Sorry, Putin. Russia's economy is doomed
• Russia heading for crash as ruble plummets
• Putin could be finished
• Russian Ruble Hits New Low Of 57 To Dollar
• Russian ruble plunges as economy hit hard by falling oil prices, sanctions
• Russia's Economy Has Shrunk So Much It's Now Almost The Same Size As Spain
• Russian Ruble Takes a Nosedive as Oil Price Drops
• Russia Is Falling Into A Recession (Oil Price Crash)
• god hates mini-hitlers: tanking oil price a catastrophe for the putin regime
• Mikhail Gorbachev accuses US of stoking 'new Cold War'
• Ruble crisis lends itself to Russian jokes
• Facebook blocks Russian page supporting Navalny, Putin's biggest critic
• Pro-Russian Donetsk Rebels Paid In Dollars? By WHOM?
• Putin deplores collapse of USSR
• Putin: Nothing Was Wrong With the Soviet Union's Pact With Nazi Germany
• Recession in Russia, revolt in Venezuela? The knock-on effects of tumbling oil prices
• Russia says in talks with Venezuela over countering oil price falls
• Oil price drop threatens to hit Russia, Iran harder than sanctions
• Iranian president calls fall in oil prices 'treachery'
• Iran: Fall in oil prices is 'treachery'