Further ruble weakness needed

In Russia, preliminary GDP data has been released yesterday. The Q3 GDP posted 4.1% yoy growth is more than expectation. After the data released the USD-RUB appreciated. This creates a risk that can not be ignored. 

"The Russian central bank needs at present is further ruble weakness. It would further fuel inflation and lower real interest rates. The market might then soon consider the CBR's monetary policy to be "insufficient". This would lead to further ruble weakness - a vicious circle that would be difficult to break", says Commerzbank in a research note.