ADB, however, has cut its growth forecast for developing Asia to 6.1 per cent from the earlier 6.3 per cent in view of subdued economic activity in the US and China.
The 30-share Sensex ended down 297 points at 27,438 and the 50-share Nifty closed 93 points lower at 8,305.
To a specific question on the change in RBI's stance from "neutral" to "accommodative", Das said it means that there will not be any rate hike from here on.
India's gold demand declined 18 per cent to 135.5 tonnes in the first three months of this year, mainly due to a sharp rise in prices, according to the World Gold Council (WGC). The demand stood at 165.8 tonnes in the first three months of 2021. In terms of value, gold demand dropped 12 per cent to Rs 61,550 crore in the January-March period. It stood at Rs 69,720 crore in the year-ago period, the 'Gold Demand Trends Q1 2022' report released by the WGC said.
Growth projections for 2013-14 has been arrived at by taking into account present internal and external factors.
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The RBI said lead indicators point to continuing sluggishness in domestic economic activity in the first quarter of 2014-15.
The administration and people in draught-hit Marathwada are pinning their hopes on monsoon as only one per cent water is left in the dams of the parched region.
The forecast of deficient monsoon rainfalls scared farmers.
After a delayed start, the monsoon is advancing steadily.
'While most companies were bullish before the second wave of double-digit sales growth in FY22, that may not be the case now.'
According to a research report by Bank of America Merrill Lynch, despite better rains the growth forecast for this fiscal is likely to be around 5.6 per cent.
'The fundamentals look strong, but we will have to see if they translate into actual demand.' 'Because the April-May marriage season didn't see much sales due to the lockdown.'
As it bets on a good monsoon for food prices to ease, the government on Tuesday said the Reserve Bank will consider appropriate policy actions to tighten money supply to bring down inflation.
After witnessing a near rout in the 2014 Lok Sabha polls, the ruling Samajwadi Party in Uttar Pradesh might be facing the toughest challenge in its political history. Chief Minister Akhilesh Yadav, who was basking in the glory of wrestling the reigns of the state from Bahujan Samaj Party chief Mayawati in the 2012 assembly elections, is now facing political heat in more ways than one.
The 30-share index ended higher by 481.16 points or 1.91 per cent at 25,626.75 -- its highest closing since January 1.
For many farmers, though, a bumper harvest isn't good news, as they have been forced to sell their produce, particularly pulses, dirt cheap.
The mercury breached the 46-degree Celsius mark in several places such as Allahabad (46.8 degrees Celsius) and Jhansi (46.2 degrees Celsius) in Uttar Pradesh; Sports Complex (46.4 degrees Celsius) in Delhi; Ganganagar (46.4 degrees Celsius) in Rajasthan; Nowgong (46.2 degrees Celsius) in Madhya Pradesh; and Maharashtra's Chandrapur (46.4 degrees Celsius).
However, flight operations at the Mumbai airport were not impacted due to rains, an airport official said.
The finance ministry on Thursday said the economy was poised to grow by 7 per cent this fiscal despite the delay in monsoon, but admitted that high global oil prices were a matter of concern.
RBI Governor Shaktikanta Das said that early containment of the pandemic could impart an "upside" to the economic growth outlook.
According to the global financial services major, after the BJP's 'historic' election victory on May 16, hope for structural reforms has gone up.
Stating that COVID-19 has not yet been contained in India, the rating agency in a statement said the government stimulus package is low relative to countries with similar economic impacts from the pandemic. "The COVID-19 outbreak in India and two months of lockdown -- longer in some areas -- have led to a sudden stop in the economy. That means growth will contract sharply this fiscal year (April 2020 to March 2021)," it said. "Economic activity will face ongoing disruption over the next year as the country transitions to a post-COVID-19 world."
'Very heavy with isolated extremely heavy rainfall (>200mm) forecasted for N Konkan including Mumbai in 24 hrs. Entire west coast very active monsoon'
In Q1, India's GDP shrank by a staggering 24 per cent year-on-year amid the imposition of one of the most stringent global nationwide lockdowns.
Till June 30, the southwest monsoon was 33 per cent lower than normal, which is among the worst in the last five years, with 28 of the 36 meteorological divisions recording deficient rain.
Retail inflation slowed to 4.29 per cent in April from 5.52 per cent in March, mainly due to easing food prices, government data showed on Wednesday. The Reserve Bank mainly factors in the retail inflation based on Consumer Price Index (CPI) while arriving at its monetary policy. As per the data released by Ministry of Statistics and Programme Implementation, inflation in the food basket was 2.02 per cent in April, down from 4.87 per cent in the preceding month.
Good sowing of kharif crops, better minimum support prices, and fewer Covid-19 cases (in villages) will help the rural growth story to continue, says Maruti.
Heavy rains lashing Mumbai since Sunday have thrown rail, air and road traffic out of gear, with several trains and flights being cancelled. With IMD forecast of heavy rains for Tuesday, the authorities declared a holiday in the city and adjoining regions, asking people to avoid stepping out of their houses.
More than half of India's farms lack irrigation and millions of farmers still depend on the vagaries of the monsoon rains
The Sensex closed down 308 points at 24,894 and the Nifty has lost 96 points at 7,559.
Large stocks were ruined in transit due to thunderstorm and rainfalls in the north and the north-east states, resulting in fewer kilos of potatoes at mandis.
The economists, who were surveyed, also felt it will take time for banks to make any further reduction in deposit rates
However, it may still not change its stance on the policy rate as inflationary pressures are coming from high commodity prices.
A red alert has been sounded in three districts of Idukki, Thrissur and Palakkad in Kerala.
The Reserve Bank of India cut its repo rate by 25 basis points to 6.50 per cent.
This is the index's biggest single-day fall in almost a month
On Aug 11, the Chinese central bank surprised markets by devaluing the yuan by nearly 2 per cent.
Earlier Rajeev Malik an analyst with Macquarie Group had downgraded India's economic growth forecast to 6.5 per cent for the fiscal ended March 2010, from 7 per cent on account of weak monsoon.
The forecast for better rains this seasons comes after India witnessed one of the worst droughts in recent times when the monsoon had failed last year.
Rain in the June-September season will be 87 per cent of the long-period average, compared with 93 per cent forecast in June, Ajit Tyagi, director general at India Meteorological Department said. Rainfall could be 4 per cent more or less than the estimate, he said.
