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 30): The FBM KLCI finished down 2.09 points or 0.13% at 1,609.19 today, as investors weighed global news including the US Customs and Border Protection’s (CBP) directive to its personnel at all US ports of entry to begin seizing disposable gloves produced in Malaysia by Top Glove Corp Bhd, besides updates on Archegos Capital's equity derivative default, which hit international banking stocks overnight. Today, sentiment from the CBP’s directive to its personnel to begin seizing gloves produced by Top Glove over forced labour allegations appeared to have impacted share prices of rival glove manufacturers including Supermax Corp Bhd and Hartalega Holdings Bhd. Rakuten Trade Sdn Bhd head of equity sales Vincent Lau told theedgemarkets.com today that the "decline in share prices of rubber glove manufacturers could be due to sentiment from the news on the CBP’s directive involving Top Glove”. Top Glove, Hartalega and Supermax, which are constit...