USD/RUB retreats from highs, around 60.40

The Russian Ruble keeps depreciating vs. the buck at the end of the week, sending USD/RUB to fresh tops near 60.50 albeit losing some momentum afterwards.

USD/RUB higher on Brent drop

RUB is deriving extra selling pressure from the persistent weakness around crude oil prices so far this week, with the barrel of European reference Brent crude currently breaking below the key $47.00 mark and at the same time posting fresh multi-day lows.

Recently in Russia, inflation figures tracked by the CPI rose more than expected 4.4% on a year to June, rebounding from lows seen near the CBRF’s 4% target in past months. Further data from Russia saw the FX reserves held by the CBRF rising to $412.2 billion during last week from $408.8 billion.

Recall that the Ruble stays under pressure after FinMin A.Sulianov announced earlier in the week that the central bank will increase its purchases of foreign currency.

In the data space today, US non-farm payrolls will be the salient event ahead of the Fed’s Monetary Policy Report to Congress before Yellen’s testimony next week.

USD/RUB levels to watch

At the moment the pair is up 0.44%% at 60.41 and a surpass of 60.51 (high Jun.21) would open the door to 60.56 (2017 high Jan.26) and finally 61.63 (high Dec.30 2016). On the downside, the immediate support emerges at 59.82 (200-day sma) seconded by 59.51 (10-day sma) and then 58.89 (55-day sma).