Russia's Ruble Still On Losing Streak Despite Putin 'Recovery' Plan
Raymond Legaspi | | Dec 19, 2014 05:25 AM EST |
(Photo : Reuters) Russian President Vladimir Putin attends his annual end-of-year news conference in Moscow, December 18, 2014.
Russia's President Vladimir Putin laid out a plan of economic recovery on Friday but it did little to stop the losing streak of the ruble which has so far plunged 45 percent against the US dollar.
Putin pledged to make Russia's economy stronger and expected it to recover in the next two years but analysts said he fell short of setting a clear path away from the currency crisis.
Like Us on Facebook
Western economic sanctions over Russia's intervention in Ukraine, coupled with falling oil prices and financial regulators' inability to defend ruble despite hefty interest rate hikes in the past week all sent the ruble tumbling.
Putin ruled out compelling the country's exporters to sell their dollar earnings, adding Russia's central bank should not exhaust its dollar reserves to shore up the ruble's value.
On Thursday, the ruble was traded at 61.00 against the dollar and it fell against the euro during Putin's economic briefing. It recovered 0.1 percent stronger at 75.05 after the Russian leader wrapped up his speech.
Oil traded higher on Thursday with a barrel of Brent crude up more than 3 percent to over $63 a barrel.
Putin called financial sanctions against Russia "illegitimate," blaming Saudi Arabia and the US for a possible conspiracy to bring down the price of oil to put Russia in Bind. He found it "illogical" that he caused a breakdown in relations with Europe and the US.
He mentioned the network of US military bases worldwide and Washington's anti-ballistic missiles spread around Europe to support his argument that Russia is far from being the aggressor. He also compared the expansion of the North Atlantic Treaty Organization to the building of the Berlin Wall.
Putin said he sought a diplomatic way to end the Ukraine crisis. He did prescribe a political solution based on basic international law, including the right of any state to self-determination.
Tagsruble
©2015 Chinatopix All rights reserved. Do not reproduce without permission
EDITOR'S PICKS
-
Did the Trump administration just announce plans for a trade war with ‘hostile’ China and Russia?
-
US Senate passes Taiwan travel bill slammed by China
-
As Yan Sihong’s family grieves, here are other Chinese students who went missing abroad. Some have never been found
-
Beijing blasts Western critics who ‘smear China’ with the term sharp power
-
China Envoy Seeks to Defuse Tensions With U.S. as a Trade War Brews
-
Singapore's Deputy PM Provides Bitcoin Vote of Confidence Amid China's Blanket Bans
-
China warns investors over risks in overseas virtual currency trading
-
Chinese government most trustworthy: survey
-
Kashima Antlers On Course For Back-To-Back Titles
MOST POPULAR
LATEST NEWS
Zhou Yongkang: China's Former Security Chief Sentenced to Life in Prison
China's former Chief of the Ministry of Public Security, Zhou Yongkang, has been given a life sentence after he was found guilty of abusing his office, bribery and deliberately ... Full Article
TRENDING STORY
-
China Pork Prices Expected to Stabilize As The Supplies Recover
-
Elephone P9000 Smartphone is now on Sale on Amazon India
-
There's a Big Chance Cliffhangers Won't Still Be Resolved When Grey's Anatomy Season 13 Returns
-
Supreme Court Ruled on Samsung vs Apple Dispute for Patent Infringement
-
Microsoft Surface Pro 5 Rumors and Release Date: What is the Latest?