…For now. As Russia (RSX, quote) comes back from -4% to start the day as the Ruble hits 58 heading to 60USD to actually trading up small this morning.

Image courtesy NVO: http://commons.wikimedia.org/wiki/User:NVO

Russian Central Bank, Moscow

The move comes as sentiment improves slightly with the central bank’ rate hike yesterday which was not enough along with today’s currency intervention in the market.

With crude oil dancing near $60, very little support will come from the currency or market until we find a bottom in oil. It’s interesting how Russia didn’t participate in the oil rally on the way up but is devastated by it on the way down.

As the IEA this morning joined in the chorus of OPEC and others this week cutting their global oil demand forecast for 4th time in 5 months as well as the IEA sees 2015 global oil refinery margins under renewed pressure.

This morning in Russia the local Dollar index bounced off an important long term trend line at 805 on the RTS which goes all the way back to 1998 and marked the bottom of the 2008.

RussaDec12

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