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USD/RUB Teeters on its 200dma as Brent Moves Back Above $70/bbl

RUSSIA
  • USD/RUB trades +0.08% higher this morning, with firmer oil markets tempering a stronger BBDXY in early trading.
  • The cross fell 0.81% following the OPEC decision to stick with the 400kbbl increase in Jan, but retain optionality to act to stabilise prices with supply curbs if necessary.
  • Geopolitical squabbles between Lavrov & Blinken saw little progress made on the Ukraine issue, but it seems a more important Biden-Putin meeting may be coming in the near future – which saw RUB appreciate slightly.
  • Headline risks remain prevalent today with Lavrov attending the final day of the OSCE meetings in Stockholm, and ratings agencies Fitch & Moody’s may provide sovereign ratings reviews this evening.
  • PMI data printed softer this morning at 47.1 & 48.4 in services and composite measures, falling further below the 50 mark.
  • US NFP’s will be the big-ticket item on the agenda today after a choppy week of USD price action.
  • USD/RUB price action fell just short of closing below the 200dma in yesterday’s session and will need to break this level to take the next leg lower towards 73.00-72.8525 (100dma) – although expectations for a hawkish CBR should provide support to RUB going into the next meeting.
  • Intraday Sup1: 73.5033, Sup2: 73.1560, Res1: 74.0639, Res2: 74.3325
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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