Rouble steadies near 60 vs dollar; TCS, M.Video shares down after results

Rouble volatility has subsided after wild swings that saw it hit a record low of 121.53 to the dollar in Moscow trade in March, soon after Russia sent tens of thousands of troops into Ukraine. It then rallied to a seven-year peak of 50.01 in June.

Year-to-date, the rouble has become the world‘s best-performing currency as a result of capital controls and strong prices for Russia’s exports, such as oil and natural gas.

High energy prices have also helped Russias economy avoid the meltdown that many experts predicted but hardships are still emerging for some Russians.

High inflation dents living standards of Russian households whose inflation expectations have increased despite a weekly decline in the consumer price index in the past seven weeks.

On the stock market, the dollar-denominated RTS index rose 0.6% to 1,189.2 points and the rouble-based MOEX Russian index was 0.3% higher at 2,255.4 points.

Shares in M.Video-Eldorado underperformed the market and fell 2.2% after the company reported a widening net loss for the first half of 2022, as it saw dramatic shifts in the macroeconomic landscape and consumer sentiment.

Moscow-traded depository receipts in TCS shed 0.6%, extending Wednesdays losses after the group said its first-half net profit dropped to a five-year low, hit by higher funding costs and conservative provisioning.