The Reserve Bank of India (RBI) Governor Sanjay Malhotra will announce the policy rate today at 10 am as the three-day Monetary Policy Committee (MPC) meeting concludes on Friday.
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The rupee has fallen from Rs 85 to Rs 90 per USD in under a year, far quicker than previous five-rupee intervals, which earlier took anywhere between 581 to 1,815 days. SBI in its report noted this as the second-quickest fall since the 2013 Taper Tantrum.
Stronger-than-expected economic growth has led to hardening of bond yields, leaving the market divided over the Reserve Bank of India's upcoming monetary policy decision, a report by Union Bank of India stated.
The domestic benchmark indices opened flat on Thursday as bulls and bears attempted to pull the markets towards their sides amid external pressure, even as domestic indicators offered support.
The Reserve Bank of India (RBI) is expected to keep the policy repo rate unchanged at 5.5 per cent and maintain its existing stance in the upcoming December Monetary Policy Committee (MPC) meeting, a report by YES Bank said.
Indian rupee breached the 90 mark against USD on Wednesday morning, extending its depreciation run through sessions now, and in the process hitting a fresh all-time low for the Indian currency.
The domestic benchmark indices witnessed selling pressure on Wednesday's opening trade as the weakening Rupee and cautious investor sentiment weighed on the markets.
While answering an unstarred question in Rajya Sabha, the Minister of State (MoS), Ministry of Finance, Pankaj Chaudhary, said, "The process of complaint resolution is being streamlined through revision in the Reserve Bank-Integrated Ombudsman Scheme."
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