18 Aug 2015
USD/RUB: Ruble sits at 6-month lows near 65.50
FXStreet (Mumbai) - The Russian ruble continues to get hammered by its American counterpart in the European morning, heading for a retest of fresh half-yearly highs reached at 65.74 on Monday, largely dragged by the recent downward pressure in oil prices.
Ruble tumbles along with oil prices
Currently, the USD/RUB pair trades 0.20% higher at 65.57, bidding higher towards multi-month highs. The recent sell-off in oil prices, drowning the black gold to fresh six-year lows has hit the Russian currency big time, having the knock-on effect for Russia's oil dependent economy.
In the near term, no relief is in sight for the ruble, in light of the expected increase in the US federal funds rate and the persistent global oil oversupply amid falling demand.
Analysts at ANZ noted, "OPEC is expected to boost crude oil production to 33 million barrels per day, the most ever, after international sanctions are removed against Iran."
USD/RUB Technical Levels
To the upside, the next resistance is located 65.74 (Aug 17 High) levels and above which it could extend gains 66 (Feb 2015) levels. To the downside immediate support might be located at 64.80 (Aug 17 Low) below that at 64.29 (Aug 14 Low) levels.
Ruble tumbles along with oil prices
Currently, the USD/RUB pair trades 0.20% higher at 65.57, bidding higher towards multi-month highs. The recent sell-off in oil prices, drowning the black gold to fresh six-year lows has hit the Russian currency big time, having the knock-on effect for Russia's oil dependent economy.
In the near term, no relief is in sight for the ruble, in light of the expected increase in the US federal funds rate and the persistent global oil oversupply amid falling demand.
Analysts at ANZ noted, "OPEC is expected to boost crude oil production to 33 million barrels per day, the most ever, after international sanctions are removed against Iran."
USD/RUB Technical Levels
To the upside, the next resistance is located 65.74 (Aug 17 High) levels and above which it could extend gains 66 (Feb 2015) levels. To the downside immediate support might be located at 64.80 (Aug 17 Low) below that at 64.29 (Aug 14 Low) levels.