(Updates prices, adds comment from Alfa Bank strategist)
By Alexander Marrow
April 13 (Reuters) - The Russian rouble strengthened on
Thursday, pulling away from last week's one-year low on high oil
prices that may increase the inflow of foreign currency export
earnings, although limited liquidity meant sharp swings remain
possible.
The rouble suffered its worst week against the dollar all
year last week, prompting numerous comments from officials.
Central Bank Governor Elvira Nabiullina on Wednesday rejected
lawmakers' requests to tighten currency restrictions and warned
of sharp devaluations and financial crises.
By 0731 GMT, the rouble was 0.5% stronger against the dollar
at 81.54 and was steady at 89.98 versus the euro . It had gained 0.4% against the yuan to 11.84 .
Limited FX supply has hampered the rouble, but tax payments
that usually see exporters convert foreign currency revenues to
meet local liabilities should buttress the rouble later in the
month.
Russia's diminishing current account surplus, which shrank
by about 73% in January-March as the value of exports decreased
and imports recovered, is also harming the rouble.
"There is still a balance between demand and supply of
foreign currency at current values," Promsvyazbank analyst Egor
Zhilnikov said in a note, expecting the rouble to stay between
81.5 and 82.5 to the dollar in the absence of strong drivers in
either direction.
After spending much of last year as the world's
best-performing currency, the rouble has suffered after the West
imposed new sanctions on Russia's oil exports in the form of an
oil price cap and an EU embargo on its sea-borne crude exports.
Brent crude oil , a global benchmark for Russia's
main export, was down 0.1% at $87.2 a barrel, but close to a
more than 10-week high set the previous session.
"Elevated crude prices should provide a tailwind to Russian
equities," said Alfa Bank Equity Strategist John Walsh.
Russian stock indexes were mixed.
The dollar-denominated RTS index was up 0.4% to
979.1 points. The rouble-based MOEX Russian index was
0.2% higher at 2,534.4 points.
(Reporting by Alexander Marrow; Editing by Robert Birsel)
