Political risk culminating from elections in the US and Latin America, and evolving right-wing populism in Europe could lead to substantial volatility, say Abheek Barua & Tushar Arora.
RBI Governor Raghuram Rajan on February 2, left the key interest rate unchanged citing inflation.
'It was the Supreme Court's order (recommending changes in the SC/ST Act).' 'Isn't it wrong not to accept even the court's order?' 'Are you bigger than every institution?'
The rupee closed at Rs 66.21 in its last trading session.
The rupee is stable, and a number other of measures have been taken to bring stability in the capital market, the FM said.
On gold buying occasions such as Akshaya Tritiya, Chiraj Mehta points out, investors are often confronted with the question: Should I make just a token purchase, or should I buy more towards building my allocation in the yellow metal?
The fuzziness of Trump's economic blueprint remains the biggest risk.
.jpg)
According to the global financial services major, the primary concern for the RBI at the moment has to be anchoring elevated inflation expectations and stabilising the currency, which could face renewed pressures if the Fed begins QE tapering this week, as widely expected.
India Ratings principal economist Sunil Kumar Sinha said the Brexit is a mixed bag for the country.
'The probability of another negative year in 2019 is low.'
'My sense is that we should be braced for a correction.' 'It has already begun in the mid-caps for the past month, and will now spread to larger stocks as well.' 'Use the correction to upgrade the quality of your portfolio,' advises Akash Prakash.
Investors will keenly watch US Fed meet starting Tuesday
As the economy teeters between bad and worse, one question looms: What's the best course of action? Here's what can be done. And what can't
The rupee is likely to strengthen to 60-61 level by this fiscal-end on expectations of improvement in current account deficit (CAD) and higher inflows from overseas investors.
Sensex witnessed the biggest single day gain since May 2009 in absolute terms.
Interest rates still aren't low enough to stimulate the U.S. economy. Washington needs to engender more inflation so "real" rates turn substantially negative
RBI has reiterated its faith in the Indian economy but it has also put forth some key concerns that have the potential to derail the growth engine.
At its last policy review, the central bank left policy repo rates on hold at 7.25 percent, tying future cuts to inflation outlook.
A fall presents an opportunity to buy rate-sensitive stocks.
Unprecedented as it is, this steep cut in the interest rates effected by the Fed has the potential to dynamite the US dollar, the US economy and, by extension, the global economy.
Increased demand from oil importers for the American currency and a weak opening in the domestic stock market also put pressure on the rupee.
Experts believe volatility is here to stay for some time, at least till China stabilises and clarity regarding the US Fed's interest rate move emerges.
Index majors NTPC, BHEL, Reliance Reliance Energy, Reliance Communications and HDFC, DLF, TCS, SBI and Bajaj Auto have zoomed.
In the latest large opinion poll, the opposition Bharatiya Janata Party and its allies were forecast to win a narrow majority in the 543-seat lower house of parliament, compared with previous surveys predicting that they would fall short.
RBI will review the monetary policy again on September 29.
A massive outflows of foreign funds on the back of stricter participatory notes and renewed possibility of Fed lifting US interest rates largely impacted the domestic unit.
The broader markets ended in line with the benchmark indices- BSE Midcap and Smallcap indices ended higher by 1.3% and 0.9% each.
The market is clinging to support above the 8,000 mark and hitting resistance above 8,150.
The BSE IT sector, however, failed to snap a three-day losing streak and closed around 0.14 per cent lower.
Experts advise investors to buy at lower levels in the next few months and sell at the higher end of their range in the second half, reports Rajesh Bhayani.
India should not be left behind. It should join the seven central banks which are studying feasibility and safeguards necessary to eliminate risks, particularly from hacking, advises former foreign secretary Shyam Saran.
Raghuram Rajan, whose current three-year tenure ends on September 4, has already said no to a second term.
Concerns related to capital outflows in the aftermath of the first US interest rate hike in nearly a decade predominantly weighed on the rupee trade.
RBI might not cut rate on June 2 but will surely cut soon.
FIIs pump in $1.4 billion in March, after pulling out $2.9 billion in Jan-Feb.
The previous bout of Fed withdrawal fears had threatened to spark a crisis of confidence in India -- sending the rupee to a record low of 68.85 in late August and leading to steep falls in bonds and stocks.
As FY20 Budget fiscal measures need to be better understood, a reversal of the stance back to neutral will allow MPC flexibility to respond to incoming data.
The Indian currency had appreciated by a whopping 85 paise in three-day surge
Amid slowing growth and low interest rates, investors will need to focus on stock-picking, suggests John Remmert.
Rupee will weaken against the dollar in next 12 months, says Reuters poll.
© 2026 Rediff.com - Investor Information - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances