Russian rouble up slightly amid dollar liquidity fears


Sept 20 (Reuters) - The Russian rouble was up slightly against the U.S. dollar on Tuesday, helped by rising oil prices, but weakened against the euro.

At 0745 GMT, the rouble was up 0.10% against the dollar at 60.1025 RUBUTSTN=MCX, and down 0.28% at 60.3125 versus the euro EURRUBTN=MCX. It was almost unchanged versus the yuan at 8.556 CNYRUBTOM=MCX.

"We note that the dynamics of trading, according to our estimates, despite the beginning of the key week before the payment of taxes by exporters, may partly be associated with a shortage of foreign exchange liquidity for a number of players," said Egor Zhilnikov, an analyst at Russia's Promsvyazbank.

Zhilnikov said that after the Russian central bank's rate cut last week, the dollar overnight basis became negative, "which means that the exchange of dollars for roubles began to cost banks more than direct loans in roubles".

Russia's central bank lowered its key interest rate by 50 basis points to 7.5% on Friday.

The rouble has been the world's best-performing currency this year, buoyed by emergency capital controls rolled out by the central bank in a bid to halt a mass sell-off.

The rouble is set to gain support from a month-end tax period that usually sees Russia's exporters convert their foreign currency earnings into roubles to pay to the treasury, the peak of which falls on Sept. 26.

Brent crude oil LCOc1, a global benchmark for Russia's main export, was up 0.39% at $92.36 a barrel.

Russian stock indexes were down.

The dollar-denominated RTS index .IRTS was down 1.26% to 1256.610 points. The rouble-based MOEX Russian index .IMOEX was 1.4% lower at 2396.12 points.

For Russian equities guide see RU/EQUITY

For Russian treasury bonds see 0#RUTSY=MM

(Reporting by Reuters Editing by Raissa Kasolowsky)

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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