Russia climbs to second place behind Turkey in currency volatility By Investing.com
© Reuters.
Investing.com – The implied volatility of the ruble, which is calculated from the prices of one-month options on the pair, reached 20.7% as of Jan. 24. This is evidenced by the terminal data Bloomberg.
Implied farm volatility, as the market estimates the future magnitude of the exchange rate fluctuation. The current values for Russia are a record since November 2020.
Since January 10, the ruble has come to this indicator on the second line among the exchange rates of countries. The first place was taken (32.6%), faced with a sharp decline due to the policies of the country’s President Recep Tayyip Erdogan. However, on December 31, the ruble took only the fifth line – in terms of the volatility of the Russian currency, except for the lira, it was ahead of the Chilean peso, and.
The current decline of the ruble is taking place against the backdrop of geopolitical risks. NATO on January 24 announced the expansion of its presence in Eastern Europe. At the same time, representatives of the families of Western diplomats from various countries are evacuating with Ukraine, and Russian presidential spokesman Dmitry Peskov warned of a possible Ukrainian offensive against the self-proclaimed Donetsk and Lugansk People’s Republics.
Text by Christ Jan Shebalin
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