Russia: CBR delivers 25bps cut – TDS

Sandeep Kanihama FXStreet Contributor

TD Securities analysts note that in Russia, the CBR has cut the Key Rate by 25bps in line with the Bloomberg consensus, but less than TD’s call for a 50bps cut.

Key Quotes

“We have now shifted our expectation for today's additional 25bps of easing at the next Board Meeting on 7 February 2020. The statement remained largely unchanged compared to the prior one, with annual inflation for 2020 still forecasted at 3.5-4.0% (no change) and risks skewed to the downside.”

“In line with our expectations, USDRUB did not react upon the announcement. A modest downside USDRUB move at the time of writing is likely to be more related to a rebound in oil prices.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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