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Author Topic: The Value of the Ruble  (Read 80 times)

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Online Omega1982

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The Value of the Ruble
« on: November 10, 2016, 10:35:53 AM »
Now that Trump will be the next US president he might consider lifting the economic sanctions.  Does this mean the ruble will re gain some value? 

Do you think it might be a good time to buy some rubles? 

Although it has seemed that the prices have gone up in Russia.  A latte is still around $3 to $4.  I have a driver/ guide in Moscow which charges 1800 RR per hour which now is around $30 per hour but I doubt he charged the same in 2013 which would have put him at $60 per hour. 

Any thoughts? 

Online andrewfi

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Re: The Value of the Ruble
« Reply #1 on: November 10, 2016, 10:55:50 AM »
When you talk about prices going up in dollars in a country that does not use dollars as its currency then you are confusing yourself, and the rest of the world!

If the dollar goes down in value against the ruble (as it has this year) then the price in dollars will go up, but that has nothing to do with the actions of the taxi driver or grocer.

It would be more helpful to you to use ruble values when talking of prices in Russia.

The chances are that your taxi driver would have charged you around 900 rubles back in 2013 which was about $30 back then.

And no, not a time to buy rubles just to hold them. Now it is a good time to engage in what is called by blokes who know 'Carry Trade'. That is you borrow dollars at low interest rates in the USA and you buy investments denominated in rubles in Russia. Currently investments in Russia are seeing good returns: CLICK HERE!

"For what else is the life of man but a kind of play in which men in various costumes perform until the director motions them offstage?" -Erasmus

Online msmoby

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Re: The Value of the Ruble
« Reply #2 on: November 10, 2016, 12:00:12 PM »
The R.Rouble has been pretty stable atjust under 80 to the GBP ..after the Brexit 'adjustments'.

The strength of the RR is strongly linked to Energy prices.

If you think they will rise..bet on the RR.

It was c.40-50 to the GBP when energy prices were double what they are now.

Inflation within Russian reflected both the fall in the Rouble and consequential price rises. Inflation is slowing..but at a rate western economies would regard as high.

The housing market is flat.

Great deals to be had on consumer goods.

I do not think the time is right to bet on substantial gains..

If one is brave.. Buy property and rent it out.. the returns are greater than the western markets I know. I am only familiar with two cities' housing markets. Not Moscow or Piter.

The GBP worth a punt when all the Brexit negotiations seem clearer.. it is now undervalued.

Your currency.. ? I have NO idea..in the last two days...it has done the opposite of my expectations on two occasions !)



Online msmoby

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Re: The Value of the Ruble
« Reply #3 on: November 10, 2016, 06:01:37 PM »
Only a few hours have pased and the GBP has gained five percent against many currencies .incl.Rouble.?

Who' d try and win every day in currency trading?