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 (March 15): Supported by share price increases in Hartalega Holdings Bhd and Top Glove Corp Bhd, the FBM KLCI gained 6.02 points or 0.36% to close at 1,680.54 points today.
Shares of glove makers had recently been battered due to the depreciation of the ringgit against the US dollar. However, the ringgit appreciated to 4.088 against the dollar today, its first uptick since Tuesday.
The local market’s performance was in line with other Asian markets, buoyed by news of progress in US-China trade talks, according to Reuters.
However, according to Rakuten Trade head of research Kenny Yee, the increase in the benchmark index was likely due to domestic buying as foreign investors have reportedly continued to pull money out of the country.
Market breadth was positive across Bursa Malaysia, with 445 counters up versus 374 decliners. Total volume topped 4 billion shares, valued at RM3.67 billion.
Sapura Energy Bhd, Bumi Armada Bhd and Priceworth International Bhd were the most actively-traded stocks. Top gainers included Nestle (Malaysia) Bhd, Malaysian Pacific Industries Bhd and Hong Leong Bank Bhd.
In other Asian markets, Japan’s Nikkei closed up 0.77%, while the Shanghai Composite Index rose 1.04%. South Korea’s Kospi ended 0.95% higher.
Source: The Edge
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