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CPI In Focus This Week; Brent Rattled by China Restrictions

RUSSIA
  • USD/RUB higher at the open on softer brent futures and a firmer greenback, but looks to be clawing back some upside.
  • Brent suffered this morning on concerns of a new spread of the virus in China, which has been the core demand driver for a number of months with the Hebei province being pushed into lockdown.
  • CPI in focus this week with a pickup in core to 4.3% YoY reinforcing CBR concerns about price pressures and the latest decision to keep rates on hold, despite pressure from the IMF to support the local economy.
  • Sell side still constructive on RUB, may see continued interest in fading the rallies in USD/RUB on moves towards 75.00.
  • Sup1: 74.1755, Sup2: 73.9460, Sup3: 73.5558
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

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