USD/RUB: Russian ruble likely to remain under pressure for now – TDS
|According to analysts from TD Securities, the Russian ruble could continue to be under pressure on the back of US sanctions to Russia. They consider USD/RUB could rise 10% from around 70.
Key Quotes:
“The ruble is underperforming the dollar and other EM currencies for a second day in a row. Selling pressure has intensified today, however, as investors speculate that the US administration may sanction Russia over allegedly putting a bounty on US and UK troops deployed in Afghanistan.”
“The ruble selloff comes at a time of rising concerns over a second wave in the COVID-19 pandemic that may afflict several countries, including parts of the US. Also, the RUB seems exposed to intensifying headwinds from a possible failure of OPEC+ and Russia to negotiate an extension of oil output cuts.”
“We think RUB is likely to remain under pressure for now, idiosyncratically driven by sanction risks. As in the April 2018 episode, sanctions may weigh weakness up to a total 10% from a starting USDRUB level of around 70.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.