Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
The Russian bonds jumped on Thursday, as the ruble was bolstered by a rebound in crude oil prices, pushing the yield on 10-year bonds down 8 bps. The benchmark 10-year bonds yield, which is inversely proportional to the price of bonds, fell 1.08 pct to 9.17 pct and 2-year bonds yield dipped 0.83 pct to 9.54 pct by 1025 GMT.
The Brent crude oil, a global benchmark for Russia's main export, was lifted today after Energy Information Administration's (EIA) showed that crude stock rose lower than the market expectation last week. The crude inventories rose 2.1 million barrels, from prior build of +6.6 million barrels for the week ending 15 April. This came alongside a decreases seen in gasoline inventories of -0.1million barrel, from prior -4.2 million barrel and distillate inventories of -3.6 million barrel, as compared to a build of +0.5 million barrel seen prior. Moreover, Market speculation that Petroleum Exporting Countries (OPEC) and Russia will meet in Moscow next month to again strike a deal on oil output freeze, boosted crude oil investors confidence. But, Russian Energy Minister Alexander Novak denied about any such meeting happening in Russia in May. On Sunday, the negotiations between Petroleum Exporting Countries (OPEC) and Russia failed to reach an agreement in the Doha round of talks to strike a deal on oil output freeze. The International benchmark for crude oil prices, Brent futures rose 0.07 pct to $45.82, while West Texas Intermediate crude oil jumped 0.20 pct to $44.27 by 0820 GMT.
Yesterday, the Russia's March unemployment rate rose to 6 pct, higher than the market expectation of 5.9 pct, from lower 5.8 pct in February. According to State Statistical data, Rosstat, nearly 4.6 million people were unemployed, as compared to 4.4 million in the previous month. Similarly, Russia’s retail sales declined 5.8 pct y/y, against market expectation of 5.5 pct y/y fall, from prior down 4.3 pct y/y, pressurising Central bank of Russia for further monetary easing.
On the other hand, the Central Bank of Russia first deputy Governor Ksenia Yudaeva said that Central bank of Russia (CBR) will bring down the inflation figure to its target of 4% in 2017 as its strict monetary policy has already reduced inflationary expectations.
In addition, the CBR is widely expected to keep the policy steady at its next board meeting on April 29 and start monetary easing later this year. Also, the Russia’s GDP dynamics (seasonally adjusted) was flat in February 2016, as compared to 0.1% contraction in January, according to the monthly monitoring published by the Economic Development Ministry.
"We expect GDP to decline by the end of the year by 1.3% with household consumption being the major drag." said Nordea Bank in a report.
Meanwhile, boosted by rallying crude prices, ruble was trading at year highs of 64.65 per dollar and 73.03 against the euro and Russian MICEX index has set a new record high reaching 1971 points as of 0700 GMT.
Lastly, if unemployment, inflation and GDP growth fail to improve over the coming months, easing will occur sooner rather than later, pushing bonds prices further up.
