Ruble continues to appreciate to US-dollar

Baku. 15 July. REPORT.AZ/ Yesterday, on July 14, US-dollar exchange rate in Russia fell below 63 rubles. Analytical Group of Report News Agency believes that the ruble strengthened against the background of high oil prices and growth of investments in Russian economy.

Notably, this is the minimum exchange rate since November 5, 2015. However, the fundamental factors that can ensure sustainable strengthening of the ruble, were not observed. Thus, the Russian budget was 4% in the first half of the year, which is above the target level of 3.3%, while oil prices may at any time begin to fall again due to excess supply over demand.

Notably, US-dollar began to rise against the backdrop of a sharp fall in oil prices (33 RUB/USD) in the second half of 2014 and on January 21, 2016 has reached 86 RUB/USD. Thus, in18 months the ruble weakened against the dollar by 2.6-fold. Then, together with the rise in oil prices the ruble has appreciated by 27% and the rate fell to 62,8 RUB/USD.

Analytical Group of Report News Agency considers that the rate could fall to the level of 60,7 RUB/USD. However, in the long term, weakening of the ruble against the dollar is predicted.