OctaFX | OctaFX Forex Broker
Open trading account
Back

Russia: RUB is facing a double shock – Nordea

The Russian economic policy framework focusing on stability and pursued since the crisis of 2014 is being put to the test by the current extreme oil market volatility, economists at Nordea brief. EUR/RUB trades at 84.32. 

Key quotes

“Now that the coronavirus scare is exacerbated by the OPEC+ deal collapse, the RUB is facing a double shock.”

“RUB volatility, as well as the Russian country risk premium, are far below the levels seen in 2008 and 2014.” 

“The risks of a global economic slowdown caused by the coronavirus outbreak are primarily threatening the export component of the Russian economy (contribution of up to 0.6% point to total expected GDP growth of 1.9% in 2020).”

“If the current weak RUB levels persist, the contribution of investment and consumption to GDP growth will also be at stake, creating a risk of a more material slowdown.”

 

US Dollar Index Price Analysis: Next target emerges at the 97.80 region

After bottoming out in the 96.60 area on Monday, DXY has embarked in a corrective upside to the current vicinity of 97.00. This area of resistance is
Read more Previous

EUR/USD Price Analysis: Room for further downside

EUR/USD remains on the defensive so far this week and is now approaching the key support at 1.1200 the figure. The continuation of the selling mood sh
Read more Next
Start livechat