USD/RUB bounces off daily lows near 73.70, looks to CBR

USD/RUB drops and rebounds from the 73.70 region.
The CBR hiked the key interest rate by 25 bps to 4.50%.
Focus is now on the press conference by Governor E.Nabiullina.

Pablo Piovano FXStreet

The Russian ruble reclaims some ground lost in past sessions and drags USD/RUB to the 74.00 region on Friday.

USD/RUB now looks to CBR

After two consecutive daily advances, USD/RUB met a moderate resistance in the 74.40/50 region, where converge the weekly highs and the key 200-day SMA. So far, the daily knee-jerk faced contention near 73.70.

The move lower in the pair comes after the Russian central bank (CBR) surprised markets and raised the key policy rate by 25 bps to 4.50% at its meeting earlier on Friday. Previously, market consensus was pointing to a steady stance from the central bank (and a likely rate hike later this year).

According to the CBR, higher inflation expectations are the main reason behind the unexpected rate hike. The central bank added that extra fiscal stimulus likely fueled the pro-inflationary forces along with geopolitical events (sanctions) and improved domestic fundamentals.

Later in the session, CBR Governor E.Nabiullina will give the usual press conference. In the calendar, February’s Retail Sales and the Unemployment Rate will gather extra attention.

USD/RUB levels to watch

At the moment the pair is losing 0.32% at 74.04 and a breach of 72.53 (2021 low Mar.16) would aim for 70.00 (psychological level) and then 68.55 (low Jun.23 2020). On the flip side, the next up barrier emerges at 74.47 (weekly high Mar.19) followed by 74.83 (100-day SMA) and then 74.96 (monthly high Mar.4).

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD climbs to daily highs near 1.1820

EUR/USD now picks up pace and advances to the area of daily peaks north of the 1.1800 barrier at the end of the week. The pair’s decent move higher comes against the backdrop of a generalised lack of direction in the FX galaxy and the mild offered stance in the US Dollar.

GBP/USD trims losses, retests 1.3460

After briefly challenging its key 200-day SMA near 1.3440, GBP/USD now manages to regain some balance and revisit the 1.3460 zone on Friday. Cable’s pullback comes as the selling pressure on the Greenback gathers traction, reigniting some recovery in the risk-linked space.

Gold flirts with four-week highs past $5,200

Gold extends its rebound, climbing for a third consecutive session and pushing back above the $5,200 mark per troy ounce on Friday. The move higher continues to draw support from lingering geopolitical tensions and the ongoing uncertainty surrounding US trade policy, both of which are keeping safe-haven demand firmly in play.

Bitcoin, Ethereum and Ripple consolidate with short-term cautious bullish bias

Bitcoin, Ethereum and Ripple are consolidating near key technical areas on Friday, showing mild signs of stabilization after recent volatility. BTC holds above $67,000 despite mild losses so far this week, while ETH hovers around $2,000 after a rejection near its upper consolidation boundary.

Changing the game: International implications of recent tariff developments

The Supreme Court ruling on International Emergency Economic Powers Act (IEEPA) tariffs provides limited relief for the rest of the world, with weighted average tariff rates modestly lower.

Starknet unveils strkBTC, shielded Bitcoin transactions on Ethereum Layer 2

Starknet, the Ethereum Layer 2 network developed by StarkWare, today announced strkBTC, a wrapped Bitcoin asset that introduces optional shielding while preserving full DeFi composability.