Russian ruble hits historic lows on OPEC decision

Russian ruble hits historic lows on OPEC decision

Thursday, November 27, 2014 10:09 pm

The ruble slumped to historic inter-day lows Thursday against both the dollar and euro in the wake of the OPEC oil cartel’s decision to leave its collective output ceiling unchanged.

The Russian currency shed 3.6 percent and briefly traded at the 48.66 mark against the dollar about two hours after OPEC made announcement following a day-long meeting in Vienna.

The ruble also lost 3.6 percent against the euro and touched the 60.92 level before recovering slightly.

Its previous inter-day lows of 60.27 to the dollar and 48.64 against the euro came on November 7.

Energy-rich Russia generates about half its federal budget revenues from oil and natural gas exports.

The ruble has depreciated by about 30 percent this year due to Western economic sanctions imposed over Russia’s intervention in ex-Soviet Ukraine and the fall in global oil prices by around a third since June.

Join The Conversation

What do you think?

This site uses Akismet to reduce spam. Learn how your comment data is processed.