Bond market feels twice-bitten as RBI forecasts wipe rate cut hopes

By Aaryan Khanna
Fixed Income at SBI Funds Management Ltd., said. Read more

RBI Governor Malhotra's communication changes with first no-action policy

By Pratiksha
of speaking less. Now it looks like Malhotra is also moving towards the tried and trodden path. That will be a pity. The economy, and indeed the world, needs more communication and more transparency. End Read more

Most see MPC cutting repo rate Oct amidst tariff uncertainty

By Shubham Rana and Pratiksha
The Reserve Bank of India's Monetary Policy Committee may lower the repo rate once again in October, after leaving it unchanged at 5.50% Wednesday, to support growth amidst an uncertain global environment, according to an Informist poll. Read more

MPC ties its hands for future rate cuts with August status quo

By Shubham Rana
The Reserve Bank of India's Monetary Policy Committee has tied its own hands by not cutting interest rates Wednesday. Despite lowering the inflation projection for 2025-26 (Apr-Mar) by 60 basis points to 3.1%, the committee chose not to lower rates in its August meeting. This puts the central bank's rate-setting panel in a situation where now on it can cut interest rates only in response to a sharp slowdown in growth. One wonders if the MPC realises this. Read more

Corporate bond issuances down in Jul on front-loading in Jun post rate cut

By Vaishali Tyagi
Fundraising through the private placement of corporate bonds slumped on a year-on-year basis in July as major issuers opted to hold off after the front-loading seen in June. Many companies had rushed to lock in the lower yields in June, after rates eased as the Reserve Bank of India's Monetary Policy Committee delivered a 50-basis-point repo rate cut on Jun. 6, along with the announcement of a 100-bps cut in the cash reserve ratio of banks. This resulted in a slowdown in issuances in July, according to market experts. Read more

CD issuances surpass maturities in July but total mop-up remains low

By Vidhushi RajPurohit
Issuances of certificates of deposit slowed down in July month-on-month and year-on-year, as banks kicked off the quarter to September with modest funding needs amid ample liquidity surplus in the banking system. Though lower, issuances surpassed the maturities due in July as state-owned banks front-loaded some of their borrowing, and locked in funds before money market rates begin to inch higher, market participants said. Read more

CPI inflation likely fell to a record low of 1.3% in July

By Shubham Rana
Retail inflation in India likely fell to a record low of 1.3% in July mainly because of the statistical effect of a high base and lower food prices, according to an Informist poll of 11 economists. CPI inflation was at 2.10% in June, the lowest since January 2019, and 3.60% a year ago. Read more

Emkay's Riya Singh sees gold at INR 112,000/10 gm by Diwali

By Pallavi Singhal and Ashutosh Pati
With rising global tensions, gold and silver prices in India are expected to remain exceptionally high during the upcoming Diwali festive season, Riya Singh, research analyst of commodities and currency at Emkay Global Financial Services Ltd., said. Read more

Strong dlr may keep gold in range with downward bias in Aug

By Afra Abubacker
Market participants expect gold prices to remain range-bound with a downward bias in August. A firm US dollar and hawkish tone of the US Federal Reserve are seen weighing on prices, they said. While weaker US non-farm payroll data released on Friday spurred some renewed interest in gold, analysts say this movement is unlikely to sustain. Read more

MPC has space to cut repo rate Wed despite Jun front-loading

By Shubham Rana
The Reserve Bank of India's Monetary Policy Committee may be widely expected to keep interest rates on hold Wednesday but the current growth and inflation dynamics allow the rate-setting panel to lower the repo rate once again. Not only that, the need for a rate cut now is probably far greater than it was in June. Read more