After a brutal sell-off yesterday, the ruble shot up in early trading this morning, rising by nearly 7%, from 68 to the dollar to $US63.16 at 8:09 a.m. GMT.
The rise came as the Russian finance ministry intervened in the currency market, according to Bloomberg. That means it’s selling off a chunk of its dollar reserves to buy rubles, driving the currency’s value up.
By 9 a.m, the exchange rate fell back to where it started again, and the ruble is now falling again: down 0.68% at 68.51 as of 10:15 a.m. GMT.
Here’s how the drop looked:
The currency’s volatility at the moment is severe. The ruble is currently up 3.81% against the dollar, after falling around 13% yesterday and 10% the day before. It’s dipping back below 65 rubles to the dollar, after approaching nearly 80 yesterday. It was barely above 50 rubles to the dollar at the start of December, and 33 to the dollar at the start of 2014.
Yesterdays massive sell-off also started with a bit of a rally for the ruble so it remains to be seen if the authorities can keep this up.