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. Last Updated: 07/27/2016

Ruble Pushed to a 25-Month High

The ruble rose to a 25-month high against the dollar on Friday after the Central Bank stopped buying excess oil dollars from the market to break the advance of the local currency.

The currency for today's delivery rose by 6.37 kopeks to a weighted average of 29.638 per dollar -- its highest rate since late October 2001 -- after the Central Bank withdrew its 4-day-old dollar bid at 29.695.

According to dealers' estimates, the Central Bank could have bought some $1.3 billion in the previous five days and poured billions of rubles into the market to depress the strengthening exchange rate.

The reserves of the Central Bank rose by more than $3 billion in November as the Central Bank was forced to contain the ruble's strength, often blamed for blunting the competitive edge of the country's producers.

But it has had to print rubles to buy dollars.

It has thus added to inflationary pressures.