New Delhi: Taking a cue from the continued downward surprises in inflation and sluggish growth indicators, the Reserve Bank of India is likely to go for further monetary easing in its June 17 policy meet, global investment banking majors have said.
The headline wholesale inflation fell to 41-month low in April (4.89 per cent), dropping within the central bank's comfort zone of less than 5 per cent and fuelling market hopes of more monetary easing to revive sagging economic growth.
"We believe the WPI inflation report provides ample room for the RBI to cut policy rates at its June 17 policy meeting," Barclays said in a research note. Barclays further added that "we expect the repo rate to be cut to 7 per cent (another 25 bp cut) by mid-2013. Moreover, we think the likelihood of further rate cuts (another 50bp to 6.50 per cent) in the second half of 2013 has risen significantly"....
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10:40 AM, May 19, 2013
Frankfurt: The Reserve Bank of India will take note of falling inflation when discussing potential interest rate cuts, the central bank's Governor Duvvuri Subbarao said on Tuesday, adding he was very happy about the falling inflation. Asked about potential interest rate cuts in light of falling inflation, Subbarao said they would be taken into account and in future central bankers "will take note of softening inflation." The headline wholesale inflation...
04:46 AM, May 15, 2013
Mumbai: Ahead of the annual monetary policy announcement on Friday, analysts are calling for lower interest rates. "Based on a relatively more benign outlook for inflation and the current account deficit following the recent moderation in commodity prices, as well as the continuing sluggishness in investment activity and domestic consumption sentiment, we expect Reserve Bank to reduce short-term lending rate by 25 bps on Friday," domestic rating agency Icra said....
08:28 PM, May 01, 2013
Mumbai: The drop in headline inflation to a 40-month low of 5.96 per cent for March has increased the possibility of a rate cut by the Reserve Bank at its May 3 annual policy, analysts and rating agencies said on Monday. India Ratings said the cooling off in both core and general inflation readings, coupled with fiscal consolidation and reform measures undertaken by Government, will help RBI Governor Duvvuri Subbarao...
07:33 PM, Apr 15, 2013
Morgan Stanley and HSBC each cut their India's economic growth forecasts for 2013/14 to 6.0 per cent from 6.2 per cent to reflect lower-than-expected growth in the October-December quarter. ...
10:49 AM, Mar 13, 2013
The Reserve Bank of India said a sustained commitment to contain fiscal and current account deficits was needed to create room for monetary easing, a day before it is widely expected to cut interest rates for the first time since April. While the near-term risks to a bloating fiscal deficit have waned following the government's recent policies to stick to its fiscal deficit target of 5.3 per cent of GDP,...
06:05 PM, Jan 28, 2013
Mumbai: The Reserve Bank of India (RBI) in its mid-quarter monetary policy review on Monday kept the repo rate unchanged but cut the Cash Reserve Ratio (CRR) by 25 basis points (bps), a move that will likely infuse Rs 17,000 crore into the economy. The RBI will continue to target inflation in its credit policy. Following are the highlights of the mid-quarter monetary policy review announced by the RBI on...
12:23 PM, Sep 17, 2012
New Delhi: The Reserve Bank of India (RBI) will be out with its credit policy on Monday amid mixed cues. It will continue to target inflation in its credit policy, that's the unanimous view of bankers, economists and fund managers polled by CNBC-TV18. Eighty per cent of the market expects RBI to leave policy rates unchanged and only 20 per cent expect a cut in repo rate. However, analysts believe...
06:29 AM, Sep 17, 2012
Mumbai: The rupee rose on Monday to its highest against the dollar in a week, despite a steep sell-off in global risk assets, on the back of dollar sales by corporates and exporters, as well as unwinding of long-dollar positions by banks. The recovery comes after the rupee had hit a string of record lows against the dollar in the second half of May, with the latest on Thursday when...
03:05 PM, Jun 04, 2012
Latha Venkatesh, Banking Editor, CNBC-TV18 said consumers will most definitely benefit from RBI's rate cuts. ...
12:12 AM, Apr 18, 2012
RBI is also examining monetary measures, including more rate cuts. ...
01:06 PM, Jan 02, 2009
What does this mean for the consumer? Ask expert Harsh Roongta. ...
01:54 PM, Dec 16, 2008
The demand for home loans has also gone down significantly. ...
04:24 PM, Oct 25, 2008
Kingston: West Indies had their noses slightly in front at stumps on day one of the first Test despite a fightback by India's lower middle order at Sabina Park on Monday. The hosts ended the day at 34/1, behind by 212 runs after restricting the visitors to 246 despite the heroics of Suresh Raina (82 not out) and Harbhajan Singh (70). Ishant Sharma then provided India the much-needed early wicket...
08:57 PM, Feb 05, 2008
The US rate cut has paved the way for India's RBI to cut rates, says experts. ...
02:22 AM, Sep 20, 2007
