The central bank also retained the GDP growth forecast at 9.5% for the on-going fiscal year and revised CPI inflation projection downward to 5.3% which also supported sentiment
The RBI has calendarized its VRRR auction and stands ready to enhance its duration. This is the first sign of preparing the market for an eventual increase in the reverse repo rate.
RBI's key lending rate or the repo rate was held steady at 4% while the reverse repo rate or the borrowing rate also stayed unchanged at 3.35%
There will not be any shock to the market, with the calendar being drawn out.
RBI bought 2.2 trillion rupees of bonds through Government Securities Acquisition Programme, or GSAP, in previous two quarters.
The Reserve Bank is likely to leave the key interest rates unchanged at its fourth bi-monthly policy review, according to HDFC Bank Chief Economist Abheek Barua
While the share of oil in India's import basket is as much as 22.5% currently, a falling rupee could fuel inflation and take the steam out of low interest rates
Analysts keen to see if more members of the six-strong monetary policy committee call for changing the stance to neutral: like Jayanth Varma did in August.
Central bank is risking making inflation entrenched with its easy money policy, says dissenting member of Monetary Policy Committee.
RBI extended the on-tap targeted long term repo operations (TLTRO) scheme till December 31
Overall RBI monetary policy was on expected lines and the policy statement highlighted its commitment to do whatever it takes to ensure financial stability
Live updates: Monetary policy committee's decisions being read out by RBI governor Shaktikanta Das
An accommodative stance on monetary policy (unchanged since June'19), in the face of an unfavourable growth-inflation trade-off is understandable for now
Here are the best of Business Standard's opinion pieces for Saturday
RBI keeps interest rates unchanged, announces measures to support economy
RBI decided to leave the benchmark interest rate unchanged at 4 per cent
Nifty Bank is expected to touch 36,600 levels, as per the technical chart
Monetary policy committee's decisions show there is slim chance of repo rate being increased in near future
RBI's monetary policy committee will likely keep the repo rate unchanged at 4% for a sixth straight meeting