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...
KUALA LUMPUR (July 10): The FBM KLCI fell 2.8 points or 0.2% despite optimism in global markets as investors sold KLCI-linked stocks like Petronas Chemicals Group Bhd and Genting Bhd.
Analysts said investors at Bursa Malaysia appeared to be emphasising individual stocks instead of sectors.
“It’s been very quiet and it seems that investors are focusing on individual stocks rather than particular sectors," Inter-Pacific Securities Sdn Bhd research head Pong Teng Siew said.
At 5pm, the KLCI closed at 1,757.13 points. Petronas Chemicals dropped 20 sen to RM6.89 while Genting Bhd fell 16 sen to RM9.03.
Petronas Chemicals and Genting Bhd were Bursa Malaysia's sixth and eighth-largest decliners respectively.
Across Bursa Malaysia, 1.67 billion shares worth RM1.52 billion were traded. There were 556 decliners and 294 gainers.
The most-actively traded stock was newly-listed Advancecon Holdings Bhd with some 132 million shares traded. The stock added 21.5 sen to close at 84.5 sen .
Malaysian shares fell despite global share gains. Japan’s Nikkei 225 gained 0.76% while Hong Kong’s Hang Seng climbed 0.63%.
Reuters reported that world stock markets rallied on Monday and the US dollar hit a two-month high against the yen as the latest US jobs data gave investors greater confidence in the strength of the economy.
Source: The Edge
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