RBI Policy

Economists expect 40-50 bps hike in repo rate by MPC next month

RBI is rightly focused on the inflation target

Says have entered another phase of 'coordinated action' between fiscal and monetary authorities

For the RBI, a correct reading of its mandate would have been that the inflation target is 4%, not 6%. And action to raise interest rates should have begun last year, writes T N Ninan

Non-bank finance companies (NBFCs), however, may feel more heat, except those engaged in mortgage financing

Cost of borrowing to go up; analysts say robust tax revenues crucial

Growth forecast was cut to 7.2 per cent, from 7.8 per cent for FY23. Both forecasts were made assuming crude oil prices at $100/bbl

"You should look at this measure as when it gets tough, RBI stands alone now," a source said

CLOSING BELL: Around 3:30 PM, the mega IPO of Life Insurance Corporation (LIC) was subscribed 91 per cent with policyholders' quota seeing a subscription of 2.79 times

Real estate and automobiles, which were showing signs of a nascent recovery, will bear the brunt of higher interest rates

The 10-year government bond shot up 26 bps, with the street expecting another rate hike in the June policy

On Wednesday, 10-year government bond yields ended the day at 7.4 per cent, against Monday's closing of 7.1 per cent

The bond markets also saw a sell-off, and the yield on the 10-year government bond rose to 7.37 per cent, hitting a three-year high

In the last policy meeting in April, the monetary policy committee (MPC) of the RBI had shifted its focus to tackle the rising inflation in India after the Russian invasion of Ukraine

Geopolitical tensions, rising inflation, the skewing margin of India Inc and slow growth are casting a shadow over Dalal Street. Will May see investors following the adage 'Sell in May and go away'?

'The markets should not assume we will guide them, because the data is coming without warning', said Varma

The RBI has also proposed to allow interoperability in cardless cash withdrawal transactions at all banks and ATMs using the UPI facility

We are watchful and the situation is dynamic and fast changing and all our actions will be tailored accordingly, says Shaktikanta Das

This is expected to enhance ease of transactions and eliminate frauds at the same time

Sets stage for rate hikes after June policy amid high oil prices, yields