Page 3 - Interest Rate Hike

Russian central bank hikes interest rates by 100 basis points to 16%

"The return of inflation to target in 2024 and its further stabilisation close to 4% assume that tight monetary conditions will be maintained in the economy for a long period"

Loan EMIs to rise! SBI hikes MCLR by up to 10 basis points

According to the SBI website, only the overnight rate has remained unchanged. As of December 15, the MCLR for the one-year tenure has been raised to 8.65 per cent, up from 8.55 per cent

Several banks raise FD rates in December, offer up to 8% interest

On Monday, Kotak Mahindra Bank raised fixed deposit (FD) interest rates by up to 85 basis points. Kotak Mahindra customers can now earn up to 7.80 per cent on senior citizen FDs

RBI policy: Depositors can continue to enjoy high FD rates for now

With the rise in the lending rate of banks, there has been a simultaneous increase in fixed deposit rates as well. As of now, many banks are offering FD interest as high as nine per cent

Fincare Small Finance Bank hikes interest on savings account to 7.5%

The interest rates on savings accounts of Fincare Small Finance Bank range from 3.51 per cent to 7.50 per cent

YES Bank hikes FD rates by 25 bps, senior citizens can earn up to 8.25%

According to YES Bank's website, the highest interest rate of 7.50 per cent has been increased to 7.75 per cent for FDs maturing in 18 months to less than 24 months

One-year overnight swap hints domestic interest rates may be peaking

The market sees the recent decline in swap rates as reflecting a diminishing concern about an impending effective rate hike in India

Oil at $110 could prompt RBI to hike interest rate again: Morgan Stanley

As the world's third-biggest consumer of oil, India is one of the most exposed economies in Asia to rising crude prices

RBI may hold fire even if Fed hikes rates twice: CEA V Anantha Nageswaran

RBI Governor Shaktikanta Das recently said at the Business Standard's BFSI Insight Summit domestic factors determined India's monetary policy

M&A activity dips amid geopolitical concerns, only 5 mega deals this year

By the end of August 2023, about 21,500 M&A deals had been announced, with a total value of $1.18 trillion. This represents a 14 per cent decrease in the number of deals

Only time will tell how long interest rate will remain high: RBI Governor

Interest rate is likely to remain high for the moment, Reserve Bank Governor Shaktikanta Das said, stressing the central bank will remain extra vigilant and keep "Arjun's eye" to ensure a sustained decline in inflation. The lending rates are ruling high after the RBI cumulatively hiked the key policy rate (repo) by 250 basis points since May 2022 in a bid to tame inflation which touched a high of 7.44 per cent this July. The consumer price index (CPI) based retail inflation is now declining and fell to 5 per cent in September. The government has mandated the central bank to ensure inflation remains at 4 per cent with a margin of 2 per cent on the either side. "Interest rate will remain high. How long they will remain high, I think only time and the way the world is evolving will tell," the governor said in response to a query at Kautilya Economic Conclave 2023. On the sidelines of the Conclave, Das said the RBI remains very focused on the inflation dynamics. "We are extra vigilant

Higher interest rate puts pressure on CASA deposits, shows survey

Higher interest rates have resulted in a reduction in Current Account Savings Account (CASA) deposits as most of the savers are shifting towards term deposits, according to a report. CASA is low-cost deposits mobilised by banks, and higher amount of low-cost deposits mean better margins for banks. A survey by Ficci and Indian Banks' Association (IBA) released on Thursday showed that long term credit demand has seen continued growth in sectors like infrastructure, textiles, and chemicals. Food processing and metals iron & steel have also witnessed accelerated long-term loan disbursements in the past six months. Infrastructure is witnessing an increase in credit flow, with 67 per cent of the respondents indicating an increase in long term loans as against 57 per cent in the previous round, according to the 17th round of the Ficci-IBA Survey. The survey said that the outlook on expectations for the growth of non-food industry credit over the next six months is optimistic, with 42 per

Real estate demand strong despite rising interest rates: REA India CEO

"We have witnessed quarter-on-quarter growth over the last several quarters despite rising rates," said Dhruv Agarwala, CEO at REA India, part of the Australia-listed REA Group

Federal Reserve officials may to go for another pause after surge in yields

Investors currently see little chance of a rate hike at the October 31-November 1 meeting, and are assigning less-than-even odds to any additional tightening in 2023

Brent holds above $90; markets await data for clues on Fed, ECB outlooks

The Federal Reserve is widely expected to leave interest rates unchanged at a policy meeting next week, though views are split over whether the Fed will hike or pause again in November

Rolling the dice on growth

To believe in strong, secular growth, we first need to understand and believe in our growth model

The war on inflation: Many ways to skin a cat, but which is most effective

Reserve Bank of India (RBI) maintained status quo in its policy rate for the third time in a row in August

Europe's inflation held steady in Aug as CenBank keeps open mind on rates

Annual inflation held steady in Europe in August as food prices raced ahead of falling fuel costs, but there was no clarity about whether the European Central Bank can pause its record series of interest rate hikes. The consumer price index for the 20 countries that use the euro currency was unchanged at 5.3 per cent from the July reading, supported by food, alcohol and tobacco prices that increased a painful 9.8 per cent, according to official figures Thursday from EU statistics agency Eurostat. Another key inflation number so-called core inflation that leaves out volatile fuel and food also eased in August, falling to 5.3 per cent from 5.5 per cent. That figure will be a key consideration for the ECB in deciding whether interest rates need to go higher, or can remain unchanged to judge their impact on the economy. Fuel prices fell 3.3 per cent amid flat global oil prices and diminished summer demand for heating fuel. European Central Bank President Christine Lagarde has said t

RBL Bank increases savings account interest rates up to 150 basis points

For daily balances between Rs 25 lakh to Rs 2 crore, bank will pay 7.5 per cent (per annum) as against 7.0 per cent rate

Are equity markets pricing in rupee weakness and related risks?

Analysts say equity markets will begin baking in the negatives and weakness in the rupee if the US Fed chief Jerome Powell delivers a hawkish commentary at Jackson Hole later this week