The recent range of issues hitting Russia and its currency has led many brokers and financial organizations to out rightly suspend activities or greatly limit leverage on Ruble trading. It was necessary for these brokers to take these risk management measures, limiting maximum margin or widening spreads, as a result of the recent volatile movements experienced on the Russian ruble. The rate hike by the Bank of Russia to a record high of 17% from 10.5% sent the currency into frantic fluctuation. The volatility and decline in value of the ruble has led Russian officials to point a finger at the currency speculators as they vow to curb unfavorable activities on the ruble.
FxPro has reinstated trading activities on the USD/RUB and EUR/RUB pairs after a few hours of suspension. The resumption in trading comes with a reduced leverage of 1:10 on both MT4 and cTrader platforms as the company cautioned clients to remain aware that during this period of increased market volatility, spreads may widen significantly and periods of illiquidity may also occur which may also lead to further suspensions on trading the RUB.
Axitrader was among the many brokers to suspend trading activities on the RUB yesterday. Today, the company further announced that effective from 5:00 PM MSK (Moscow time) December 23, 2014 (3:00 PM platform time ) it will cease to offer the USD/RUB & EUR/RUB trading on its platform stating that effective immediately, traders cannot open new positions on the USD/RUB or EUR/RUB. However, clients must close all open positions between now and 24 December, 2014. All positions still open as at the stated date will be closed by AxiTrader with the price determined by the prevailing bid or offer rate in the underlying market.