RBI Rate Cut

Last week, Nomura had assigned a 65 per cent probability that ‌the Reserve Bank of India would cut its policy rate by 25 basis points to 5 per cent

With FY25-26 CPI inflation likely to average at 2.1 per cent Year-on-Year and FY26-27 CPI inflation to still average below the 4.0 per cent target, the question of 'space' is still easy to answer

The central bank has lowered benchmark borrowing costs by a cumulative 125 basis points since February 2025

The benchmark 10-year yield on Monday surged back to nearly the same level seen before the RBI began cutting rates early last year

Rising state bond supply, which offers higher yields than debt, is pushing investors to demand more from govt securities, complicating RBI's efforts to lower borrowing costs despite recent rate cuts

Industry confidence rose to a five-quarter high in the December quarter of FY26, supported by steady domestic demand

Markets look calm, but five forces-rising debt, slowing revenues, weak savings, geopolitics and populism-signal a tougher growth phase for India

Stronger-than-expected FY26 growth gives India a rare Goldilocks moment, but sustaining the momentum in FY27 will hinge on policy coordination amid global uncertainty

RBI repo rate cuts fail to ease yields across tenors

With liquidity easing, valuations normalising and earnings turning upward, India enters 2026 primed for selective outperformance - led by banks, consumption and smallcaps

India's automobile industry is set to post its highest-ever retail sales in 2025, supported by GST rationalisation, income tax relief, RBI rate cuts and improving rural demand after a good monsoon

RBI's liquidity push is being neutralised by record state borrowing, keeping yields elevated and markets subdued - exposing deep fiscal strains beneath India's strong GDP numbers

Do not chase past returns, as the interest-rate environment that produced them no longer exists and gains from falling rates are largely behind investors

A high credit score is critical as it enables the borrower to secure the new loan at an attractive rate

The Reserve Bank of India's (RBI) projections suggested rates "should remain low for a long period of time, governor said

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Today's opinion pieces offer a sharp mix of macro and culture: China's demand shortfall, Prada's Kolhapuri move, the rupee's policy trilemma, why RBI needs better data, and a candid chess memoir.

RBI Governor Sanjay Malhotra urged banks to lower intermediation costs, improve service quality, and strengthen fraud safeguards, citing faster transmission after recent rate cuts

Despite a recent RBI rate cut, investor bids stayed above issuer expectations, forcing PFC and SIDBI to cancel planned bond raises amid rising yields and market volatility

PFC had earlier withdrawn a Rs 3,000 crore three-year bond issuance on November 25 due to elevated corporate bond yields