Free Trial

USD/RUB Teeters on Key Supports, Buoyed By Tight Oil Supply

RUSSIA
  • USD/RUB trading slightly lower at the open, diverging from ZAR & TRY on firmer oil futures, supported by robust China data.
  • Jan-Feb Industrial production beat expectations at 35.1% vs 32.2exp and daily refinery throughput data rose 15% y/y.
  • Saudi has also cut supply of April-loading crude to 4 north-Asian buyers by 15% - further tightening supply.
  • Citi noted the possibility of a spike to $80/bbl this morning.
  • USD/RUB is approaching a number of key supports, possibly unlocking a more comprehensive move to 68-70. 73.00 round number support is significant followed by Dec-20 lows at 72.7940 & 72.6566.
  • RUB remains undervalued vs EM high-yielders and should benefit from oil upside and a normalisation of US Treasury yield upside/volatility.
  • Intraday Sup1: 73.1217, Sup2: 72.7940, Res1: 73.4212, Res2: 73.6452
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.