All Eyes On The Credit Policy Pronouncements

The sentiment this week will depend largely on the stance the Reserve Bank of India (RBI) takes in its monetary and credit policy announcement on Tuesday.

With more-than-adequate liquidity in the banking system and the continuing bias of the RBI for soft interest rates, players expect a 25 basis point reduction in the bank rate to 6 per cent.

Analysts said a repo rate cut is unlikely in the face of excess liquidity. But if there