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USD/RUB Teeters on 74.00 as Oil Gains into Today's OPEC+ Meeting

RUSSIA
  • USD/RUB trades -0.07% lower this morning, treading water with oil up 4% and the USD finding some bids after retracing much of yesterday’s Powell-induced move higher.
  • Markets were wrong-footed by hawkish Fed comments yesterday as Powell moved to drop the use of ‘transitory’ and guided towards a faster taper in the December meeting.
  • Nevertheless, RUB managed to close +0.70% firmer vs the USD on the day.
  • Today’s focus shifts to the OPEC+ meeting with analysts watching closely for a pause in the plan to boost output by 400k bbls, given Omicron-induced weakness.
  • The 2.2m bbl rise in API inventories was mostly brushed off with markets more concerned about the OPEC+ outcome. On the international front, US ISM data will be monitored today with USD-side drivers keeping global markets volatile.
  • Yesterday's price action formed a large bearish engulfing candle to bring spot back closer to the 200dma (73.5647).
  • Intraday Sup1: 73.5647, Sup2: 73.1560, Res1: 74.3325, Res2: 74.7558
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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