Russia Cuts Rates for Fifth Time as Slump Contains Inflation

Russia’s central bank reduced interest rates for the fifth time this year and dropped its pledge to continue easing as inflation decelerates, signaling a less certain policy path after the nation’s economic slump worsened.

The one-week auction rate was lowered by 50 basis points to 11 percent, according to a statement on Friday. Twenty-seven of 35 economists in a Bloomberg survey predicted the move, with five forecasting no change. The ruble extended losses after the announcement and weakened past 61 to the dollar for the first time since March.