RBI likely to cut rates again by 2017-end: Chris Wood of CLSA

Long-awaited earnings rebound should finally happen in Q4CY17, CLSA believes

There is more room for the Reserve Bank of India (RBI) to cut rates even after the recent 25 basis point (bps) cut earlier this week, and it is likely that the central bank will do so one more time before the end of calendar year 2017 (CY17) given the high real interest rates in India, writes Christopher Wood, managing director and equity strategist at CLSA in his weekly note, GREED & fear.

The real interest rate in India (difference between the yield on risk-free sovereign treasury-bill