Taaza Khabar’s Post

#RBIMonetaryPolicy | For the ninth consecutive time, the MPC of the #RBI, maintained a status quo on policy rates, keeping the benchmark repo rate unchanged at 6.5%. Here are five key highlights from the #RBIMPC outcome:

RBI Keeps Repo Rate Unchanged, Changes Monetary Policy Stance to Neutral RBI shifts its policy stance to neutral. Repo rate unchanged at 6.5%, bringing relief to lenders. https://lnkd.in/dTTyDvzx

Overnight Indexed Swap : Best Measure Of Forecast Of Policy Repo Rate Overnight indexed swap (OIS) rates provide a credible way to measure the market's expectations of the future path of the repo rate. An OIS is a derivative contract where the counterparties agree to exchange a fixed interest rate payment for a floating rate payment computed on a notional principal amount during the tenor of the contract. Just before the US inflation data pushed back the chances for a Fed funds rate cut to Jun 2024, Indian OIS market had started expecting a policy interest rate cut to Oct 2024. 🟦 Prediction For Policy Repo Rate As per the recent PTI news, the rates on the one year OIS (6.71%) and five year OIS (6.33%) - two of the most liquid contracts have risen by 12 basis points before the RBI policy last week. At current levels, OIS rates indicate a shallow cut in the repo rate from its current level of 6.50 percent by Oct 2024. Thanks for reading…

🏦 RBI Keeps Repo Rate Unchanged at 6.50% for the 10th Time 📉 RBI Governor Shaktikanta Das announced that the Monetary Policy Committee has once again decided to hold the repo rate at 6.50%, marking the 10th consecutive time. This decision comes after the US Federal Reserve cut interest rates by 50 basis points. The repo rate is the rate at which the RBI lends to banks, playing a key role in managing liquidity. Stability remains the focus! ⚖️ #RBI #RepoRate #MonetaryPolicy #FinancialStability #ShaktikantaDas #InterestRates #IndianEconomy

RBI's Monetary Policy Committee decides to keep the repo rate unchanged at 6.5% for the seventh consecutive time. Take a look at the key takeaways from the RBI policy announcement, here 👇 #rbi #mpc #reporate #rbipolicy

75bps rate cut by CB MPC it doesn’t come as surprise. We surely shall see further cut of the repo rate and market reference rate! Same impact we will shall on MZN yield curve, treasury instruments and prime rate, supported by low inflation and stable fx rate! Market expects to see an improvement on CRR perspective, which in medium to long term we could potentially see some move downwards by CB.

The Reserve Bank of India (RBI)-led Monetary Policy Committee (MPC) is likely to leave key interest rates unchanged in this week's monetary policy review. All eight experts who participated in the Moneycontrol survey said that there won't be any change in policy rates. Seven of them highlighted that the central bank would maintain the policy stance of withdrawal from accommodation in the meeting, thus largely continuing the policy approach taken in recent months. One person said the stance could be changed to neutral. If the MPC maintains status quo on February 8, this will be the sixth consecutive pause in the last one year. Since the April monetary policy in 2023, the RBI has kept the repo rate unchanged at 6.5%, after raising it by 250 bps since May 2022. What should we expect from the RBI this time around and will the focus be more on liquidity management rather than rates? Catch this chat between Moneycontrol's Nandita Khemka and CNBC-TV18's Executive Editor Latha Venkatesh. https://lnkd.in/gtwNjjMw

MPC decides by 4:2 majority to keep repo rate unchnaged at 6.5% RBI MPC decided to keep repo rate unchanged for the 8th time MPC to focus on withdrawal of accommodation

RBI Monetary Policy Committee today decided to keep the repo rate unchanged at 6.5% with no change in stance of “withdrawal of accommodation. The decision was in line with our expectations of a status quo policy. This policy is a good example of convergence between RBI policy and market expectations.   #BarodaBNPParibasMutualFund #RBI #MonetaryPolicy #MarketInsights

"The MPC may look through high food inflation if it is transitory; but in an environment of persisting high food inflation, as we are experiencing now, the MPC cannot afford to do so." - RBI Governor Clearly the RBI sees the food inflation as more persistent than transitory. It is a fact that food inflation has been elevated for some time now. However, it is almost entirely contributed by repeated supply shocks mostly emanating from adverse weather conditions. It's difficult to point out any structural or cyclical demand force driving food inflation in the current environment. The point is - whether the food inflation is 'transitory' or 'persistent' is dependent on conditions like rains, flood, heat waves, cold etc. rather than natural demand supply conditions in the economy. Monetary policy is not equipped to deal with supply side food inflation. However, there is no other agency directly accountable for controlling it. This is making monetary policy over dependent on climatic conditions. Having said that, if monsoon goes well and we don't face any other supply shock, there is a reasonably high probability of inflation falling much lower than the RBI estimates. On growth there is no clear sign of demand pick up. Private final consumption growth has been at best sluggish, Core Inflation is at lowest point since its origin, and current account balance is below 1% of GDP. Nonetheless, only opinion that matters is that of the RBI. From that standpoint, rate cuts look far in future. While the good news for fixed income investors is that the RBI policy is not the only force driving the market now. There is a structural shift in demand supply which is playing much bigger role. Turning global monetary policy might also extend some support to domestic bonds. Overall, the positive move should continue. #RBIpolicy #FixedIncome