Wednesday, November 12, 2008

Russia halted

trading in Russia's stock market was halted after its main index fell over 12%. Yesterday, the central bank widened its trading range for its currency and traders speculated the government was prepared to let the ruble weaken. In order to prevent foreign capital from fleeing the country, the central bank raised its key interest rate yesterday by a full percentage point. Political uncertainty, heavy-handed government tactics, nervous foreign investors, and plunging oil prices have been pressuring stocks in recent months. Today's losses are on top of a decline of 10% on Tuesday.

-- Schwab Alerts, 11/12/08

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