Russia unexpectedly cuts interest rates despite rising inflation pressure
🏦 The Bank of Russia cut its key rate by 25 basis points to 14.00%, surprising a market that had largely expected no change.
📈 The central bank also raised its 2026 inflation forecast to 6–7%, well above the previous 4.5–5.5% range, as higher fuel prices and supply disruptions continue to pressure consumer prices.
📉 Russia’s GDP growth forecast was lowered to 0–1%, highlighting weak economic momentum alongside persistent inflation. The MOEX index gained around 1.8% after the decision, while the ruble and government bonds remained relatively stable.
🔍 Many investors now expect the CBR to deliver only 0–25 basis points of easing at each upcoming meeting rather than begin an aggressive rate-cutting cycle. Fuel prices, inflation expectations and developments in the conflict are likely to remain the main policy drivers.
#Russia $KAIA $XPL $TAIKO
🏦 The Bank of Russia cut its key rate by 25 basis points to 14.00%, surprising a market that had largely expected no change.
📈 The central bank also raised its 2026 inflation forecast to 6–7%, well above the previous 4.5–5.5% range, as higher fuel prices and supply disruptions continue to pressure consumer prices.
📉 Russia’s GDP growth forecast was lowered to 0–1%, highlighting weak economic momentum alongside persistent inflation. The MOEX index gained around 1.8% after the decision, while the ruble and government bonds remained relatively stable.
🔍 Many investors now expect the CBR to deliver only 0–25 basis points of easing at each upcoming meeting rather than begin an aggressive rate-cutting cycle. Fuel prices, inflation expectations and developments in the conflict are likely to remain the main policy drivers.
#Russia $KAIA $XPL $TAIKO