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Inflation should be managed carefully

It's one of those rare periods where deflation is also possible. The RBI may have to adjust money supply in either direction

Topics
Inflation | Reserve Bank of India | Coronavirus

Devangshu Datta 



Devangshu Datta

May has seen the return of (FPIs) in selective fashion to Indian equity. Net purchases of equity in May ran at above Rs 9,000 crore (cr) by last weekend. Most of the buying was in pharma and chemicals, with some purchases in the information technology (IT) sector. At the same time, FPIs have sold Rs 20,000 cr in rupee debt and also opened new short positions in derivatives. This is an improvement on April, which saw FPI sales of Rs 6,884 cr (equity) and Rs 12,552 cr (debt).

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First Published: Sun, May 24 2020. 19:56 IST

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