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Industrial Production Data Expected to Show Further Signs of Robust Domestic Demand

RUSSIA
  • Retail deposits at Russian banks grew 2.5% m/m in February after shrinking 0.7% in January, the Central Bank reported. The unusual increase was driven by the indexation of social benefits and high interest rates on deposits, Vedomosti say.
  • Budapest has no intentions of cutting off high-level contacts with Moscow and all means of communications must remain open, Hungarian Foreign Minister Peter Szijjarto told TASS in an interview.
  • The Federal Statistics Service will report industrial production data for February (Est: +5.2% Y/Y; Prior: +4.6%) at 16:00GMT. The CBR stated last week that inflationary pressures remain elevated on the back of high domestic demand, justifying the decision to hold rates at 16%. Weekly CPI data is also on the docket.
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