The Ministry of Finance does not allow the ruble to get stronger buying currency
The ruble is trying to attack in tandem with the dollar, but his position looks vulnerable to the introduction of U.S. import duties on steel and aluminum for Canada, Mexico and the EU. Constraints in the medium term may have a negative impact on the world economy and lead to lower energy demand, which constitute a significant proportion of Russian exports.
Meanwhile, in present time, oil continues to provide the Russian currency tangible support. A barrel of Brent crude is trading steadily above 77-dollar mark, helped by news of plans for the conservation of the deal, OPEC+. The members of the cartel are going to adhere to global Pact on the reduction of supply before the end of the year, while allowing the necessary adjustments in the event of a deficit (for example, due to the instability around Iran and Venezuela). Investors ‘ mood is not spoiled even report a new record for the extraction of raw materials on the territory of the United States.
A deterrent to the strengthening of the ruble, continues to advocate the purchase of foreign currency by the Ministry of Finance. In addition, not fully priced in another round of confrontation through sanctions, although Moscow has got a chance to use the crisis in relations between Washington and Brussels, with Berlin to his advantage.
Expected trading range for the coming week is 61,10 – 63,10 RUB/USD.
Head of Directorate of financial markets