Collapse in oil leading commodity currencies lower

The domino effect of crashing oil prices continued to send commodity currencies lower during trading on Tuesday. One major mover was the USDRUB, with the pair rallying to a level not seen since the infamous Central Bank of Russia (CBR) overnight 6.5% interest rate rise. With the economic environment being so heavily against Russia at the moment, the Rouble weakness is coming as no surprise. Russia is highly reliant on oil exports and with oil prices yet to find any floor, the CBR will continue to face a tough task of strengthening the currency. Bearing in mind Russia is also approaching what appears to be an inevitable recession, the CBR’s task to defend the Rouble from weakening is likely to become even tougher...
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