Modest sanctions against Russia brings relief for markets
The NBH base interest rate to fall to new lows at 2.5%
Although yesterday, U.S. President Obama and EU announced new sanctions against some Russians to stop President Vladimir Putin from fomenting the rebellion in eastern Ukraine and the mayor of Ukraine’s second largest city was shot by gunmen, regional markets (including the forint and the zloty) actually firmed across the board. There has been a general feeling that sanctions were not tough enough to escalate tensions between the West and Russia.
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