Indian stock indices traded largely on a steady note Tuesday morning as investors stared at the the Reserve Bank of India's bi-monthly monetary policy review for fresh cues.
A monetary policy committee headed by RBI governor Shaktikanta Das will hold a three-day-long meeting with its decision be announced on June 8 (Thursday).
Indian stock indices traded on a positive note Monday morning, extending gains from the previous week on expectations that the RBI will continue to keep the repo rate unchanged in its upcoming monetary policy review meet later this week.
Retail inflation or (Consumer Price Index) peaked at 7.8 per cent in April 2022 to an 18-month low of 4.7 per cent in April 2023, driven by a reduction in food and core inflation. In some advanced countries, inflation had in fact touched a multi-decade high and even breached the 10 per cent
India's gross domestic product in the just-concluded financial year 2022-23 could be more than the estimated 7 per cent, said Reserve Bank of India governor Shaktikanta Das.
The effectiveness of the monetary policy has proven strong as the country reduced the inflation by 310 bps from the peak of 7.8 per cent in April 2022 to 4.7 per cent in April 2023, according to a statement from the industry body.
In the three-day deliberations of the Monetary Policy Committee of the Reserve Bank of India in early April, Governor Shaktikanta Das said the central bank has projected India's real GDP growth for 2023-24 at 6.5 per cent
Retail inflation in India having moderated sharply in April substantiated the Reserve Bank of India's (RBI) decision to pause the repo rate in its first 2023 monetary policy meeting, according to SBI Research.
Bank of England's monetary policy committee hiked key interest rates by 25 basis points (100 basis points is equal to one percentage point) to 4.5 per cent, the highest in over a decade or so.
Demand for precious metal gold is expected to be muted in 2023 even as the economic momentum remains healthy and the RBI repo rate hike cycle has paused after a prolonged monetary policy tightening, according to World Gold Council.
"Growth in the next year will likely pick up as investment kickstarts the virtuous circle of job creation, income, productivity, demand, and exports supported by favourable demographics in the medium term," said Rumki Majumdar, Economist, Deloitte India.