Courtesy of Mish.
A chart of Ukraine’s currency is nonsensical once again today.
Supposedly the hryvnia rallied again today, if only by a miniscule amount 0.15%. Yet, once again the chart is complete nonsense.
Black Market Rate
The Black Market Rate today is a bit improved, with a bid/ask spread of 29.45 to 34.55. How long that rally lasts is questionable. I presume not long.
If one could exchange at the official rate, one would immediately have an arbitrage on the black market.
Translation: The alleged official rate is “for show”. No one can get it, except perhaps favored politicians and bankers taking advantage of their position of authority.
Reader John, whose father was a key figure in the Ukrainian Resistance in WWII, and whose sister currently lives in Lviv in Western Ukraine sent the following link that shows what’s really happening.
Interbank Rate Fell Sharply to New Record Low
Dateline February 26, ZN-UA reports Interbank Hryvnia Fell Sharply to New Low.
Interbank Hryvnia, despite yesterday’s statement heads the National Bank and the Finance Ministry to take measures to stabilize the currency as of February 26, the hryvnia plunged to a new record low, reaching a figure of 34.5 per US dollar.
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