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 (Dec 31): Bursa Malaysia ended sharply higher to close at its intra-day high on New Year's Eve, after wallowing in the red all day, owing primarily to bargain-hunting activities in the final hour of trading, a dealer said. As at 5pm, the benchmark FTSE Bursa Malaysia KLCI (FBM KLCI) soared 23.92 points or 1.15% to end at 1,567.53 compared with 1,543.61 at Thursday's close. The index opened 0.62 of-a-point weaker at 1,542.99 on Friday morning, stayed in the red territory throughout the day, hit a low of 1,531.81 before rebounding to its intra-day high 10 minutes before closing. On the broader market, gainers led losers 479 to 413 while 416 counters were unchanged, 982 untraded, and 31 others suspended. Turnover rose to 2.52 billion units valued at RM1.86 billion from Thursday’s 2.24 billion units valued at RM1.51 billion. Rakuten Trade Sdn Bhd vice-president of equity research Thong Pak Leng said the company expected bargain-hunting activities to co...