Why Russia’s Central Bank Could Be (Cautiously) Optimistic

Russia’s central bank is expected to remain cautious and hold interest rates steady on Friday despite a more positive trend in both commodity and currency markets that could give Russia reasons to be cheerful.

The central bank is expected to keep rates at 11 percent when it announces its decision at 10:30 London time, according to analysts polled by Russian news agency TASS.

The decision comes at a time of renewed hope for Russia’s beleaguered economy and businesses with oil and other commodity prices showing tentative signs of recovery. Despite reasons to be cheerful, however, analysts cited by TASS noted that the case for holding rather than cutting rates was not clear cut, however, and the central bank did not rule out increasing rates last month.

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Craig Erlam
Based in London, England, Craig Erlam joined OANDA in 2015 as a Market Analyst. With more than five years' experience as a financial market analyst and trader, he focuses on both fundamental and technical analysis while conducting macroeconomic commentary. He has been published by The Financial Times, Reuters, the BBC and The Telegraph, and he also appears regularly as a guest commentator on Bloomberg TV, CNBC, FOX Business and BNN. Craig holds a full membership to the Society of Technical Analysts and he is recognized as a Certified Financial Technician by the International Federation of Technical Analysts.