USD/RUB sinks to monthly lows near 56.10

The Russian currency is trading on the strong side at the beginning of the week, now dragging USD/RUB to visit the area of fresh lows in the 56.2/10 band.

USD/RUB weaker on Brent rally

The demand for RUB is stronger on Monday following a robust performance from crude oil, with the barrel of Brent crude testing fresh peaks in the mi-$52.00s, up more than 3%.

The rally in crude oil prices has been boosted further today after Saudi and Russian oil ministers favoured an extension of the current OPEC output cut deal to March 2017. It is worth mentioning that the OPEC will hold a meeting on May 25, where participants should decide on the matter.

In the meantime, spot shed over 4% since early May tops around 58.80 to the current 56.20 region, always backed by Brent-dynamics and the renewed and strong selling pressure around the buck.

In the data space, the NY Empire State index has missed estimates at -1.00 for the current month, while the NAHB index and TIC Flows figures are expected later in the session.

USD/RUB levels to watch

At the moment the pair is losing 1.39% at 56.27 facing the next support at 56.06 (low Apr. 26) followed by 55.67 (2017 low Apr.25) and then 53.03 (low Jun.18 2015). On the other hand, a break above 57.24 (high May 15) would expose 58.58 (high May 9) and finally 59.07 (high May 5).