The Bank of Russia unexpectedly maintained its key interest rate at a record-high 21% , defying analysts’ expectations of another significant hike as inflation remains stubbornly elevated. The decision marks a shift toward a more measured approach in balancing economic growth and price stability. Key Details Inflation Concerns: Annual inflation climbed to 8.9% in November, well above the central bank’s 4% target , with inflation expectations reaching 13.9% in December. Policy Rationale: The central bank cited the significant tightening of monetary conditions after October’s 200-basis point hike as sufficient to resume disinflationary processes. Governor Elvira Nabiullina emphasized avoiding both economic overheating and severe slowdowns. Economic Overheating: Elevated government spending on the war in Ukraine and social programs, coupled with labor shortages and rising wages, have fueled strong domestic demand, exacerbating price pressures...
We all have heard time and time again about the importance of investment but most of us could not grasp it...myself included... Anyway, here are a few basic categories of investment that one can consider: 1) Stocks When you own stocks or shares in a company, you own part of that company. As a shareholder in the company, you are entitled to any dividends that the company pays out. There are usually two reasons for investors to buy stocks: dividends and capital appreciation. There are many factors that determine the price of a stock, but in general, the company's earnings... From historically point of view, stocks have often done much better in comparison to bonds over the long term. In the short term, stocks are more volatile, where it can swing wildly compared to other types of investment. Stocks are the ones that will give the highest return as well but it comes with the highest risk. 2) Bonds For those of you who buy a bond, you must realize ...