I don’t mean to nitpick, but this has most likely more to do with the US dollar’s weakness -deliberately(!) brought about by the new boss in the White House- than with the ruble’s strengths. Trump and his administration -especially Stephen Miran, the newly appointed chair of Trump’s Council of Economic Advisers- have long communicated the willingness to weaken the dollar to improve the U.S. trade balance. (Some argue Trump’s action will rather lead to a higher U.S. budget deficit and the end of the USD hegemony, replaced by some Central Bank Digital Currency, gold, and maybe some other commodities. If interested, Hungarian-American economist Zoltan Pozsar was likely the first who proposed this afaik.)
The currency games have an effect on everyone. China which has been hit hardest by Trump’s tarrifs, sees it’s yuan at a 17-year low at the moment, at around 7.3 CNH for 1 USD, and the Chinese Central Bank is calling on commercial banks to limit purchases of USD, despite the tariffs conundrum, at least this is what analysts say so far and what we see in the numbers.
It’s hard to tell what happens tomorrow, but I wouldn’t bet on Russia’s currency nor its economy in the long run.
I don’t mean to nitpick, but this has most likely more to do with the US dollar’s weakness -deliberately(!) brought about by the new boss in the White House- than with the ruble’s strengths. Trump and his administration -especially Stephen Miran, the newly appointed chair of Trump’s Council of Economic Advisers- have long communicated the willingness to weaken the dollar to improve the U.S. trade balance. (Some argue Trump’s action will rather lead to a higher U.S. budget deficit and the end of the USD hegemony, replaced by some Central Bank Digital Currency, gold, and maybe some other commodities. If interested, Hungarian-American economist Zoltan Pozsar was likely the first who proposed this afaik.)
The currency games have an effect on everyone. China which has been hit hardest by Trump’s tarrifs, sees it’s yuan at a 17-year low at the moment, at around 7.3 CNH for 1 USD, and the Chinese Central Bank is calling on commercial banks to limit purchases of USD, despite the tariffs conundrum, at least this is what analysts say so far and what we see in the numbers.
It’s hard to tell what happens tomorrow, but I wouldn’t bet on Russia’s currency nor its economy in the long run.
[Edit typo.]