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 (Nov 30): The FTSE Bursa Malaysia KLCI (FBM KLCI) recouped after a weak opening and finished in positive territory on Thursday thanks to late buying on Dialog Group Bhd, CelcomDigi Bhd and Nestle (M) Bhd stocks, a dealer said. At 5pm, the FBM KLCI gained 0.46% or 6.67 points to an intra-day high of 1,452.74 from Wednesday’s close of 1,446.07. The benchmark index opened 1.73 points weaker at 1,444.34 and moved between 1,440.62 and 1,452.74 throughout the trading session. However, market breadth remained negative, with decliners outpacing gainers by 626 to 328, while 419 counters were unchanged, 995 untraded and 63 others suspended. Turnover expanded to 4.25 billion units worth RM4.97 billion from 3.28 billion units valued at RM2.27 billion on Wednesday. Rakuten Trade equity research vice-president Thong Pak Leng said the regional markets closed mostly higher, driven by late buying activity, with investors anticipating a potential interest rate cut by the US Fede...