Russian economy is expected to be less volatile compared the sharp movements until now. The oil prices are on the way to recovery and so is Rouble, pausing down the inflation. However, the overall status of Russian economy remains uncertain at this stage.
"Significant downside risks to our projection remain, as the global oil market continues to search for its new equilibrium and the commitment to structural reforms needs to be supported by a concrete set of strong policy actions," states the World Bank's website.
Monday marked the fall of Euro after Greece couldn’t follow up with the deadline for agreement with the lenders to receive money aid. The current situation hits the debt default and a probable withdrawal from the euro zone.
The upcoming Friday Greece has to pay the International Monetary Fund, since the bailout expiration time has passed at the end of last month. As the IMF deadline approaches, the possible Greece exit has an emotional impact on investors decisions. The amount that Greece is due to return is 327.93 million euro repayment.
On Monday traders witnessed euro 0.7% fall against the tougher dollar at $1.0926. Euro also slipped down 0.7% against Yen to 135.46.
There are close to 260 billion euros in euro bonds which are on the way to be transferred in the next month and a half. It is possible that a huge part of these bonds won’t be rolled over. This means a lot of pressure for Euro currency.
Dollar is getting stronger gaining 0.3% to 97.358, slightly lower than last week high 97.775.
There isn’t much change for dollar against yen which is at 124.15, the highest peak since late 2002. US data reinforces expectations that Fed Reserve might raise interest rates this year.
The latest headline is that Brazil’s central bank is expected to increase interest rates to 14% from the current 13.25% by the end of the year. There is also a higher estimate for inflation in 2015.