MOSCOW, June 20 (Reuters) - Russia's rouble hit fresh 2013 lows on Thursday and stocks fell 2-3 percent after the U.S. Federal Reserve explicitly signalled an end later this year to the easy money policy that has fuelled gains in emerging markets.
At 0718 GMT the rouble was 0.8 percent weaker against the dollar at 32.72 and 0.7 percent lower versus the euro at 43.37.
That left the Russian currency 0.8 percent weaker at 37.51 against the dollar-euro basket used by the central bank to guide the rouble's nominal exchange rate.
'Considering the global market environment and seasonal factors ... We cannot rule out the CBR either widening the basket band soon or reducing target interventions in order to make the corridor more flexible to market conditions and avoid negative consequences for rouble liquidity,' VTB Capital analysts wrote.
The central bank increases market intervention as the rouble nears the boundary of its corridor against a currency basket - which extends from 31.65 to 38.65 roubles. The currency basket is made up of 55 U.S. cents and 45 euro cents.
The rouble is currently trading in the 36.65-37.65 band within which the central bank also starts to carry out cumulative interventions which prompt a shift in the boundaries by 5 kopecks once they reach $450 million.
First deputy chairman Alexei Ulyukayev said on Thursday that the central bank is not considering any changes to the rouble's trading corridor.
Asked if the central bank would widen the zone where the central bank does not intervene, currently 34.65-35.65, Ulyukayev said: 'Perhaps, and the width of the corridor itself, and its structure and the division under sub-corridors ... in principle, it can be done. But it is not very relevant right now, we are not discussing it.'
BNP Paribas economist Yulia Tsepliaeva said expectations of monetary policy easing in Russia in the third quarter would add to the rouble's volatility in the coming months.
The dollar-traded RTS stock index slumped 3.2 percent to 1,251 points and the rouble-denominated MICEX fell 1.9 percent to 1,299 points. Wider emerging equities fell 3 percent.
The yield on Russia's February 2027 treasury bond rose 22 basis points to an eight-month high of 7.89 percent.
'Foreigners have been ditching Russian assets,' said Stanislav Yarushevichus, head of trading at ING Eurasia bank. 'Our estimates say that foreign assets (in bonds) have decreased by 15 to 20 percent since May. I think the volatility will continue till mid-July.'
(Reporting by Maya Dyakina; Editing by Catherine Evans) Keywords: RUSSIA MARKETS/
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