Jaitley said inflation has been under control for long and is likely to remain so on the back of good monsoon and unlikely spike in oil prices.
Inflation moderates, but a rate cut is unlikely.
The Reserve Bank of India's latest data indicate that spending per card is rising steadily - something that consumers should worry about
Scores of employees took to social media to express disappointment and said they were asked to resign over WhatsApp calls. On Twitter, some said they had been asked to resign by May 31 and that there was no severance package and salary would be paid only for May.
The Reserve Bank of India unexpectedly raised its policy interest rate on Tuesday by 25 basis points (bps) but said that if consumer price inflation eases as projected, it does not foresee further near-term tightening.
Bank Nifty closes at a 30-month high; Rate sensitives lead the rally on RBI rate cut optimism.
Markets surged in late trades to snap five-day losing streak led by bank shares.
Repo rate may well end 2013 at 8 per cent, where it had begun the year.
Slight recovery in growth is expected only in July-September.
The WPI inflation stood at negative 2.4% in May 2015, compared with a negative 2.65% in April 2015.
The RBI cut the rate several times last year to reduce it by 125 basis points to the current 6.75 percent.
Factory output in June likely rose 5.4 per cent from a year earlier, faster than the 4.7 per cent growth in May, according to a poll of 27 economists.
Managing Brexit, inflation and banking reforms, along with the political environment, will be tough.
In New York, the dollar fell against the British pound on Wednesday after the Bank of England raised its projections for UK growth in 2014. However, analysts warned that gains against the dollar could be limited.
Disagreeing with Reserve Bank's projection on the price situation, former RBI Governor and PM's Economic Advisory Council chairman C Rangarajan said WPI and CPI may not be as high as being projected by the central bank.
Initial share sales are set to dazzle the Dalal Street in 2022 too as companies are expected to garner up to Rs 1.5 lakh crore in the New Year, continuing with the bullish momentum after 2021 turned out to be the best IPO year in two decades for the Indian market. Excessive liquidity and increased retail investor participation ensured a persistent euphoria in the Initial Public Offer (IPO) space wherein companies mopped up more than Rs 1.2 lakh crore this year even as pandemic gloom shadowed the broader economy. In 2022, the higher amount of funds through the primary market will be largely driven by the mega IPO of state-owned Life Insurance Corp (LIC).
The NSE Nifty, which again went past the 9,900-mark to touch a high of 9,903.95 intra-day, finally settled 103.15 points, or 1.05 per cent higher at 9,897.30.
Data late on Wednesday showed consumer price inflation eased more than-expected to a 25-month low of 8.10 per cent in February, while industrial output unexpectedly expanded, albeit only by 0.1 per cent.
.jpg)
The Indian rupee touched record low of 65.52/dollar on Thursday and is down 16 per cent so far this year despite efforts by policymakers to prop it up.
Distress sales, market closures and anchoring of fishing fleets have been reported from West Bengal, Andhra Pradesh, Tamil Nadu and Kerala.
With inflation figures expected to be well within RBI's target, there may be room for further rate cut.
Gold discounts in India, the world's second-biggest consumer, widened this week as dealers struggled to offload stocks amid sluggish demand.
The economists, who were surveyed, also felt it will take time for banks to make any further reduction in deposit rates
Also keenly watching inflation numbers, with wholesale inflation data expected today
According to bankers and economists, there is room for further rate cut by the RBI as retail and wholesale inflation rates have remained benign.
Bankers said high interest rate could make Indian economy sluggish given that inflation is around 5%
More rate cut by RBI unlikely this fiscal, say Ind-Ra
The minders of the Modi government's economic policy believe it would take 7 to 8 quarters -- or till around late 2018 -- for the economy to reap the rewards of demonetisation.
It is also likely to assume a deflator of around 4 per cent. That could take the nominal GDP outlook for FY21 to around 10 per cent. It is this nominal GDP forecast on the basis of which the finance ministry is calculating key Budget targets like the fiscal deficit as a percentage of GDP and tax revenue growth for the coming year.
'It is almost four years since we've seen strong growth in earnings.' 'The markets have rallied about 20 per cent in the past year, which is ahead of earnings.' 'So, the stress now will be on earnings to catch up.'
Food and fuel are two perennial areas of concern.
The survey showed firms passed on a greater cost burden to consumers. Prices charged rose at their fastest pace since October.
Industrial ouput, however, was seen falling 0.6 per cent in January
The survey showed firms' confidence regarding future business grew at the slowest pace in a year last month.
Speaking at an Assocham event, Modi said the recent cut in corporate tax has brought rates to all-time low for businesses, adding that labour force should also be taken care of.
The Central bank primarily factors Consumer Price Index while deciding on policy rate.
Markets extended gains for the fourth consecutive day tracking gains in banks, capital goods and oil and gas majors.
The 30-share Sensex ended down 339 points at 28,119 and the 50-share Nifty closed 100 points lower at 8,438.
Across the board, demand would appear to be slacker than it should be if we are headed for a healthy recovery.
There is a lot of police action on the ground and even inter-state movement has been stopped, because of which deliveries of essential items via platforms, such as Flipkart, Amazon, Grofers, and Milkbasket, aren't happening. Food-delivery firms -- Swiggy and Zomato -- are facing similar challenges, according to the sources.
© 2026 Rediff.com - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances