Trial now
EURJPY TECHS

Corrective Pullback

US EURODLR OPTIONS

Light Upside Call Spds

USDJPY TECHS

Dips Considered Corrective

EURGBP TECHS

Trend Signals Remain Bearish

Sign up now for free access to this content.

Please enter your details below and select your areas of interest.

  • USD/RUB trades -0.21% lower this morning, tracking early weakness in the BBDXY and gains in both oil and natural gas markets.
  • The cross rose +0.19% in the lead-up to the FOMC minutes, with Putin making some key remarks on energy market stability and openness to talks with NATO and the EU on military and energy sector cooperation.
  • On the oil front, Brent shrugged off a larger than expected API inventories build at 5.2m bbls vs 700k exp to focus on expectations for higher demand on substitution effects from sky high natgas prices – which failed to moderate, despite promises of more supply from Putin.
  • Another sustained rise in weekly CPI has also bolstered expectations for a potentially larger +50bp hike at the next CBR meeting, despite Nabiullina's claims of "more standard size steps" at the prior meeting with markets pricing in +75bp of hikes in over a 3-6m horizon.
  • On the international front, the focus shifts to US PPI from the FOMC minutes which (as expected) pointed to a November taper but fell short of clarifying a rates lift-off date which markets have priced in around September 2022.
  • Intraday Sup1: 71.6864, Sup2: 71.557, Res1: 72.0654, Res2: 72.2705