RBI MPC Preview - Monetary Policy In Twilight Zone, The RBI To Wait And Watch For Now: Anand Rathi

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Anand Rathi Report.A dovish pivot? Domestic and global conditions have shifted considerably since the June Monetary Policy Committee meeting. Domestically, the balance of growth and inflation appear more dovish. Good rainfall and sowing should help soften food prices, while weak commodity prices and already restrictive policyrates are likely to keep core inflation in check. The food price momentum is abating, with the AR Food Price Index at 7.5% in Jul’24, down from 9.2% in the previous month. Updating the CPI weights based on the latest household-expenditure survey suggests current inflation could be ~4.4% for Jun, compared to 5.1% with current weights. Growth is also moderating, influenced by the elections, heat and restrictive rates. Weak data from the US and China further support this dovish outlook. The Fed's recent decision to hold rates steady amid the worsening labour market has heightened concerns regarding a recession, making a rate cut at the Sep-24 meeting more likely. Combined with weak growth in China and the euro zone, the RBI may start taking downside risks to growth seriously..Click on the attachment to read the full report:.RBI MPC Preview: Status Quo To Continue.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

RBI MPC Preview - Monetary Policy In Twilight Zone, The RBI To Wait And Watch For Now: Anand Rathi

No changes are expected in the RBI’s policy stance on rates or liquidity, says the brokerage.

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RBI MPC Preview - Monetary Policy In Twilight Zone, The RBI To Wait And Watch For Now: Anand Rathi

No changes are expected in the RBI’s policy stance on rates or liquidity, says the brokerage.

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