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26 Jan 2015
Ruble falls to fresh weekly lows on fears of fresh Western sanctions
FXStreet (Mumbai) - The Russian ruble extended losses against the US dollar during European session, tumbling to fresh one-week lows after markets feared fresh sanctions on Russia from the West after a ceasefire violation last week.
Currently, USD/RUB trades now at 65.67 levels, gaining 2.41% on the day, having previously posted fresh intraday low at 63.50. The ruble slumped versus the US dollar on renewed concerns that the US and EU may impose fresh sanctions on Russia after a tentative ceasefire was broken as separatists attacked Mariupol, a strategic Black Sea port, killing around 30 civilians in the process.
Soon after news of the offensive broke, US President Barack Obama reacted with blunt accusations of Russia bearing responsibility for the latest war outbreak. "We are deeply concerned about the latest break in the ceasefire and the aggression that these separatists - with Russian backing, Russian equipment, Russian financing, Russian training and Russian troops - are conducting," Obama said during a visit to India at the weekend.
Moreover, President of European Council Donald Tusk called indirectly for a tougher stance towards Russia. "Once again, appeasement encourages the aggressor to greater acts of violence. Time to step up our policy based on cold facts, not illusions," he said on Twitter.
In addition, falling oil prices also contributed to the losses in the ruble versus the greenback.
USD/RUB Technical Levels
To the upside, the next resistance is located at 66.14 and above which it could extend gains to 66.71 levels. To the downside, immediate support might be located at 63 and below that at 61.90 levels.
Currently, USD/RUB trades now at 65.67 levels, gaining 2.41% on the day, having previously posted fresh intraday low at 63.50. The ruble slumped versus the US dollar on renewed concerns that the US and EU may impose fresh sanctions on Russia after a tentative ceasefire was broken as separatists attacked Mariupol, a strategic Black Sea port, killing around 30 civilians in the process.
Soon after news of the offensive broke, US President Barack Obama reacted with blunt accusations of Russia bearing responsibility for the latest war outbreak. "We are deeply concerned about the latest break in the ceasefire and the aggression that these separatists - with Russian backing, Russian equipment, Russian financing, Russian training and Russian troops - are conducting," Obama said during a visit to India at the weekend.
Moreover, President of European Council Donald Tusk called indirectly for a tougher stance towards Russia. "Once again, appeasement encourages the aggressor to greater acts of violence. Time to step up our policy based on cold facts, not illusions," he said on Twitter.
In addition, falling oil prices also contributed to the losses in the ruble versus the greenback.
USD/RUB Technical Levels
To the upside, the next resistance is located at 66.14 and above which it could extend gains to 66.71 levels. To the downside, immediate support might be located at 63 and below that at 61.90 levels.