Russia FX/Rates Snapshot - September 21, 2018
This morning, EM currencies have been mainly flat, and we expect the risk-on rally to falter, as we think the markets have become a bit too complacent recently, as actual positive news has been thin on the ground. Given that the US-China trade war will continue and that the 10y US Treasury yield is holding above 3%, it will be difficult for EM currencies to advance further. However, we think the ruble has some potential to strengthen. We expect exporters to continue actively selling hard currency, as they are scheduled to pay R570 bln in MET on Tuesday next week. USD/RUB could test 66 on increasing exporter FX sales ahead of tax payments. But we doubt the ruble can strengthen significantly given the fresh sanctions news and the first signs that the risk-on rally is flagging.
Sberbank CIB Investment Research is a research firm offering equity, fixed income, economics, and strategy research. It covers analysis on all aspects of Russia’s capital markets, issues and industries. The firm analyzes trends in Russia and combines local knowledge with a global perspective. It processes macroeconomic data, market and company-specific news, stock quotes and other information for providing research reports. The firm provides details and latest prices on the most traded names and most traded paper on all segments Russian market. In strategy research, it provides thematic research, tips and descriptions of the methodology used to evaluate companies.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.