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RUB Assets to Benefit from Falling CPI in Coming Months, But CBR Remains Cautious

RUSSIA
  • INFLATION PRESSURE IN RUSSIA IS SOMEWHAT RECEDING: CENTRAL BANK
  • This comes after Weekly CPI YTD printed flat at 4.5% & WoW at 0.0%
  • Moderation in inflation in the coming months coupled with +225bp of hikes (and possibly +50bp more next month) should be broadly supportive of RUB assets in the coming months
  • However, the CBR is still cautious RE inflation with forecasts having been exceeded for much of 2021 and will be monitoring the situation closely
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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