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 (Oct 29): Bursa Malaysia ended lower on Friday, with the key index falling 0.29% amid a market consolidation mode due to lack of buying interest as investors digest the announcements in Budget 2022 tabled on Friday. At 5pm, the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) trimmed 4.55 points to 1,562.31 from Thursday (Oct 28)'s close of 1,566.86. The market bellwether opened 2.01 points higher at 1,568.87 and moved between 1,559.66 and 1,570.65 throughout the day. The broader market was slightly positive as gainers led losers by 494 to 485, while 451 counters were unchanged, 850 untraded, and 46 others suspended. Turnover eased to 3.03 billion units valued at RM2.35 billion from Thursday’s 4.05 billion units valued at RM2.73 billion. Rakuten Trade Sdn Bhd vice-president of equity research Thong Pak Leng said the FBM KLCI remained well supported at around the 1,560-1,565 region. “We believe the recent correction on the local bo...