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 (Feb 28): Bursa Malaysia ended the last trading day of February with a paltry loss, after the key index swung between gains and losses, as investors seemed to trade cautiously ahead of the release of the purchasing managers indices (PMIs) in the US and China. At 5pm on Tuesday (Feb 28), the benchmark FBM KLCI had fallen 1.31 points to 1,454.19, from Monday’s closing at 1,455.50. The index opened 0.99 of a point higher at 1,456.49, and moved between 1,452.43 and 1,458.97 throughout the day. Market breadth was negative, with decliners thumping advancers 739 to 255, while 307 counters were unchanged, 946 untraded, and 55 others suspended. Turnover, however, soared to 4.63 billion units worth RM3.95 billion, from Monday's 3.09 billion units worth RM2.19 billion.