INSUBCONTINENT EXCLUSIVE:
MUMBAI: Indian financial markets have started to price in the possibility of renewed monetary policy
easing with the appointment of
rate 4.2 percentage points higher than consumer price inflation, there is a compelling case for a rate cut, said Wood in his client
newsletter, Greed and Fear.
Consumer price inflation slowed to 2.3% in November from the same month last year, down from 3.4% in October and
the RBI governor on Monday, said in the monetary policy press conference last week that there is a possibility of space opening up for
commensurate policy actions by the monetary policy committee if upside inflation risks do not materialise
projections to 2.7- 3.2% for 2HFY19 ending 31 March, down from 3.8-4.5% projected in October
RBI as pro-growth, he said
It also means that the RBI reserves are likely to be used to recapitalise state-owned banks
appointment of Das as the RBI governor on Tuesday, the Sensex has gained 2.3%, the Bank Nifty has risen 2.1% and yields on the benchmark
government bond have fallen nine basis points
