Hryvna Decline Dragging Ruble Down With It | Business | The Moscow Times

Hryvna Decline Dragging Ruble Down With It | Business | The Moscow Times:



"LONDON — Ukraine's hryvna tumbled 4 percent on Wednesday to 10 per dollar as political uncertainty mounted, its weakness spilling over to the ruble, taking that currency to a fresh five-year dollar low.



Broader emerging assets however traded broadly in positive territory on the back of a smaller fall in the Chinese yuan than previous sessions.



Ukraine remains without a settled government several days after the ouster of President Viktor Yanukovych, raising concerns that the country will fail to tap outside financial support in time to repay debts as its own hard currency reserves dwindle.



The hryvna's latest fall takes year-to-date losses on the once tightly controlled unit to almost 20 percent against the dollar, more than any other major emerging currency in 2014. Bonds are also falling, with the 2017 dollar issue now having erased over half its Monday gains.



"The whole political picture in Ukraine has become even more blurred than before," said Simon Quijano-Evans, head of emerging markets research at Commerzbank in London."



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