CBRT holds key rate at 37.0%, as expected; maintains Overnight Borrowing and Overnight Lending rates; reiterates highly attentive to upside risks on inflation

Rates Reiterates "The tight monetary policy stance, which will be maintained until price stability is achieved, will strengthen the disinflation process through demand, exchange rate, and expectation channels" Reiterates "In case of a significant and persistent deterioration in the inflation outlook, monetary policy stance will be tightened." Inflation/Geopolitics  The underlying trend of inflation decreased slightly in June; Leading indicators suggest that the underlying trend will rise temporarily in July. As a result of the growing uncertainty amid geopolitical developments, energy prices started trending up again. Recent data confirm the ongoing weakening in domestic demand. (as was expected in the June statement) Reiterates "The impact of geopolitical developments on the inflation outlook through the cost channel, economic activity and expectations is closely monitored."