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Russia GDP (Q3) & Consumer Prices (Oct.)

The slowdown in Russian GDP growth in Q3, to 3.1% y/y, is likely to be followed by a further loss of momentum over the coming quarters. But, alongside CPI data which show that inflationary pressures are still hot, this won’t ease the central bank’s concerns about war-related demand-supply imbalances. We think that further monetary tightening lies in store.

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