The hike in repo rate by 40 basis points and a 50 bps hike in the CRR by the RBI took investors by surprise. With the RBI getting hawkish, here's what the road ahead looks like for the markets
The MPC has focused on preventing inflationary expectations from un-anchoring in an increasingly uncertain environment.
Home, auto and other loan EMIs are likely to increase after the Reserve Bank of India (RBI) hiked its key interest rate by 40 bps in a surprise move on Wednesday in an effort to tame inflation
The RBI MPC voted unanimously to increase the benchmark rate, said Governor Shaktikanta Das
At 02:27 PM: Nifty Bank, Nifty Financial Services, Nifty PSU Bank, Nifty Auto and Nifty Auto index were down between 1.3 per cent and 2 per cent on the NSE.
In the last policy meeting in April, the monetary policy committee (MPC) of the RBI had shifted its focus to tackle the rising inflation in India after the Russian invasion of Ukraine
RBI Repo rate hike: Retail inflation will likely soar further as a spike in global energy prices since Russia's invasion of Ukraine seeps into consumer prices
While the RBI's monetary policy committee kept rates steady in its recent policy review in April, UBS expects the Indian central bank to hike rates starting June 2022
RBI monetary Policy: As the central bank keeps the repo rate unchanged at 4 per cent, here is what the industry experts has to say
BENGALURU (Reuters) -Indian shares edged higher on Friday after the central bank kept its key lending rate unchanged at a record low, opting to support post-pandemic economy growth despite rising inflation due to the Russia-Ukraine war. The NSE Nifty 50 index was up 0.3% at 17,691, as of 0443 GMT, while the S&P BSE Sensex rose 0.25% to 59,181.17.
Can RBI afford the luxury of waiting out on the inflation front to allow growth to pick up?
Morgan Stanley expects the April RBI policy to mark the process of policy normalisation with a reverse repo rate hike.
The rates represent a particular stance with regard to the monetary policy and the committee decided to continue with the accommodative stance, said RBI Governor Shaktikanta Das
Rupee opened at 74.90 against the American dollar, and later witnessed an intra-day high of 74.88 and a low of 75.05 against the greenback
RBI has announced the decision of the MPC to keep the major policy repo rate at 4 per cent and reverse repo rate at 3.35 per cent unchanged
The Reserve Bank of India's Monetary Policy Committee is set to meet this week. Will it hike the reverse repo rate -- at which the central bank absorbs the excess liquidity? Let's find some answers
Will RBI go for a hike in reverse repo rate? What is Tarun Bajaj's take on revenue estimates? What will marketers track in RBI's policy meeting? How capable are Rafale fighter jets? All answers here
'Growth concerns amid spread of the Omicron variant and relatively benign inflation out-turns provide the RBI with enough room to maintain its growth-supportive monetary policies,' analysts said
The January 4-7 survey of 41 economists showed Indian retail inflation rose to 5.80% last month from 4.91% in November.
State Bank of India (SBI) has increased benchmark lending rate or base rate by 0.1 per cent, a move that may be followed by other lenders.