Todays trading assessment on the Russian Ruble.

The Russian ruble has been under pressure since the outbreak of the war with Ukraine and the imposition of Western sanctions that isolated Russia from the global financial markets. The ruble depreciated past the 76.5 per USD level in March, hovering close to levels last seen in April 2022. The Central Bank of Russia (CBR) held its key rate at 7.5% in its March meeting, but warned that inflationary pressures remain as the country’s widening budget deficit and deteriorating terms of trade pressure the domestic currency. The Federal budget widened to a record-high in the first two months of the year as recession concerns and Western sanctions pressured Urals oil prices, limiting vital energy revenues for the Russian state, in addition to soaring spending levels to finance the invasion of Ukraine.