Central Banks
Russia Opts for Smaller Rate Cut as Refinery Attacks Lift Prices
Gasoline prices jumped 3% in September and have risen another 2% this month.
Photographer: Olga Maltseva/AFP/Getty Images
The Bank of Russia continued its cycle of key interest-rate cuts but at a slower pace as Ukrainian attacks on refineries and a looming tax increase stoke inflation risks.
The central bank lowered borrowing costs by 50 basis points to 16.5% on Friday, its fourth straight reduction, though the smallest so far. Economists had been split ahead of the meeting, with roughly half expecting a cut, while the rest predicted a hold.