 "The Reserve Bank of India (RBI)'s six-member Monetary Policy Committee (MPC) is expected to maintain a status quo for the ninth consecutive policy review, all 10 respondents said in a Business Standard poll. The RBI will announce the policy decisions")
Six important developments have occurred since the Reserve Bank of India (RBI’s) June Monetary Policy Committee (MPC) meeting.
First, the global backdrop. We are now in the midst of a more broad-based global policy easing. The US Fed has moved back from a single inflation mandate to its dual mandate. The weak US July employment report has re-ignited the US soft landing/hard landing debate. US yields have tumbled, financial conditions are tightening, and the question now is how soon the Fed will move. “Higher for longer” has now become a thing of the past.
Second, commodity prices
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