FXStreet (Edinburgh) – Strategist at Danske Bank Vladimir Miklashevsky sees the Russian currency picking up pace in the longer run.
Key Quotes
“As the Fed’s historical hike is now behind us, being mostly well priced in to EM assets and the RUB, the deteriorating oil story and global volatility in risk sentiment on China woes have become the main driver for the RUB and are likely to dominate in both the short and medium term”.
“Yet, we have become slightly bullish on the RUB in the long run as the free float is protecting Russia’s current account surplus and economy despite the challenging economic situation. The rising oil price prospects given an upward oil futures curve and marginal FX redemptions by the corporate sector should also be RUB supportive”.
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