The Rising Influence of Rising Affluence

[DewDiligence]

Russia—looking desperate—raises benchmark interest rate to 17%:

http://www.wsj.com/articles/russias-central-bank-raises-key-rate-to-17-1418682581

Russia’s central bank, in a bid to stem a sharp decline of the ruble, raised its key interest rate Tuesday to 17% from 10.5%.

…The ruble’s drop Monday—the largest in a single day since 1999—brings the slump to nearly half since the start of the year and more than one-fifth this month. As the ruble fell, Russia’s central bank said the economy could shrink by as much as 4.7% next year if oil averages $60 a barrel, not far below the current price of Brent crude, the global benchmark.