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RUB At the Mercy of Oil Prices as Demand Outlook Darkens

RUSSIA
  • USD/RUB tracked higher yesterday towards 74.00 on a weaker demand outlook from OPEC and increased lockdowns across Europe.
  • API inventories today also expected to show a 1.6mbbl build
  • 400kbbl distillate build expected as well.
  • Firmer open shows willingness to continue building RUB longs towards 74.00
  • but volatility in Brent may make the 73.00 level (61.9% fib just below) decidedly sticky in the near term - forcing a wide range.
  • Data focus on industrial production today: Citi expect major upside surprise at 16% YoY vs bbg expectations for -4.9% & -5.9% prior
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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