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RUB Gets a Boost as Brent Retakes $70/bbl Ahead of OPEC+ Meeting

RUSSIA
  • USD/RUB opens lower on the back of early dollar weakness and a bid in oil markets.
  • Brent notched back above $70/bbl this morning, bolstered by an upbeat demand outlook for the US summer driving season and strong factory activity out of China.
  • Today's OPEC+ meeting will be eyed closely, as markets expect a slow easing in supply curbs – which ING believes can be easily absorbed by the market.
  • Reports that the US & Russia remain far apart on the agenda for the Putin-Biden meeting is a concern, but RUB bulls have seeming brushed this concern aside for today.
  • ING also notes that the CBR is likely to boost FX interventions to $2.6bn in June from $1.7bn, given a rise in average monthly urals price $4/bbl.
  • Today's lower open, failed to hold below Friday's low & lateral support at 73.1718, but may look to pressure this level and below, should selling pressure on the USD persist this week.
  • Intraday Sup1: 73.1718, Sup2: 72.9534, Res1: 73.4212, Res2: 73.5483
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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