Russia lifts rates to 12% to prevent total collapse of the rouble

[w¡n9Nµ7 §£@¥€r 123]

Russia's central bank has raised interest rates a full percentage point to 12pc to prevent a collapse of the rouble following a day of mayhem on the Moscow markets, prompting concerns that the financial crisis may be spiralling out of control.

The surprise move last night came after the authorities had spent $7bn of foreign reserves in a matter of hours trying to defend the currency, at a lower level. The central bank has now spent $84bn of its reserves over the last month.

"The devaluation has begun," said Lars Christensen, Russia strategist at Danske Bank.

"The rouble has fallen out of its basket against the euro and the dollar. Russia is facing a serious confidence crisis and this could set off a self-fulfilling panic. What is clear is that economy is slowing drastically."

...

"If anyone tries to exploit the financial crisis, the authorities should bring criminal charges. We don't want a return to the 1990s when everything was seething," said President Dmitry Medvedev.

http://www.telegraph.co.uk/finance/finance...is-deepens.html

[almaty 19]

f##king capitalists

[w¡n9Nµ7 §£@¥€r 123]

f##king capitalists

?

[MrsCat 6]

what's a rouble? and why is it falling out of a basket?

Edited November 12, 2008 by MrsCat

[almaty 19]

f##king capitalists

?

a j/k...