The U.S. dollar rose in value against a basket international fiat currencies but Russia’s ruble gained 4.5% against the greenback. Russia said to the media that China would pay natural gas in rubles and the yuan during the first week. In addition, the highest level of Russian gold imports to Switzerland since April 2020 was reached.
The U.S. Dollar Currency Index (DXY) soared to new heights this week. The Dollar Currency Index (DXY), which measures the dollar value of fiat currencies, soared to new heights this week.
This has left many fiat currencies around the world in serious trouble. Two days ago, the European Union’s Euro hit a 20-year low, falling to \$0.973 on Friday.
The euro is currently at $0.9690, and is down 2.82% compared to the greenback over the past 30 days. The yen has fallen 4.72% in the past 30 days, while the sterling pound fell 8.17% and the Canadian dollar lost 4.8%. For the first time in 2 years, the Chinese yuan broke the 7:1 exchange rate with the U.S. dollars.
China agree to settle payments in Russian Rubles
The ruble rose 4.5% against USD and the Russian currency fell to 56.87 USD after the climb.
The ruble, Russia’s fiat currency, has shown greater resilience this year and began to gain a month after the outbreak of the Ukraine-Russian war.
The Russian ruble reached a seven-year high in June against the U.S. Dollar. Economists at the time said that “don’t ignore [the ruble’s] exchange rate.”
While America’s fiat currency rose to new heights against other currencies around the world, the ruble increased 4.5% against USD. This was achieved while the DXY surpassed a 20-year high after the Federal Reserve’s recent interest rate hike. Russian President Vladimir Putin explained earlier in the week that he will use “all means possible” to win the war against Ukraine.