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Rising Default Risks May Create Headwinds for RUB; West Bucks RUB Payments for Exports

RUSSIA
  • USD/RUB BGN trades -0.23% lower this morning, treading water just above the 83 handle.
  • Yesterday’s session saw the cross retrace a portion of Friday’s move higher, but price action has become somewhat more muted after closing the 28 Feb breakout gap with Russia reorienting its assault.
  • Default risks are on the rise as the US Treasury prohibits US banks from processing Russian debt repayments, which may add headwinds to RUB.
  • TD Securities put out a note yesterday arguing that a Russian default would have limited contagion effects on global markets.
  • Oil prices gained yesterday and stand +1.02% higher this morning, while natgas is -2.38% lower.
  • Intraday Sup1: 83.028, Sup2: 81.1695, Res1: 85.2158, Res2: 86.651
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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