BasisPointInsight.com - Monetary Policy, Liquidity, and the Road Hereafter by Shubhada Rao, Vivek Kumar, and Yuvika Singhal Despite ample liquidity and 125-bps easing, monetary transmission stayed uneven. Bonds reflected supply fears, policy uncertainty, and muted demand. by Shubhada Rao, Vivek Kumar, and Yuvika Singhal, B...

1/3 Despite 125 bps of repo rate cuts, monetary transmission in India remains uneven—especially in the bond market. What’s holding it back? And how should the RBI respond?

#RBI #MPC #RBIPolicy

BasisPointInsight.com - RBI’s First Step Timely, But Guardrails Needed to Prevent Gaming of Fraud by Srinath Sridharan Small-value digital frauds are individually minor, but collectively corrosive to larger public trust. The RBI’s proposed compensation framework is timely, but it must be designed to deter fraud, not b...

2/2 Read Srinath Sridharan’s column for BasisPoint:
RBI’s First Step Timely, But Guardrails Needed to Prevent Gaming of Fraud

@ssmumbai.bsky.social

#MPC #RBIPolicy #IndiaMacro

BasisPointInsight.com - Liquidity Signals Keep Transmission in Focus by Shailendra Jhingan RBI held rates steady, but without fresh liquidity measures, bond yields hardened, funding spreads remained wide, and transmission risks took centre stage. by Shailendra Jhingan, BasisPointInsight.com

1/5 Liquidity was always going to matter more than rates at the February policy.

#RBI #RBIPolicy

BasisPointInsight.com - RBI Signals the End of Easing as Markets Begin to Question Comfort by Dhananjay Sinha Policy stability risks being mistaken for financial stability. The easing cycle may have ended, but the adjustment it triggered is far from complete. by Dhananjay Sinha, BasisPointInsight.com

1/4 Is the RBI mistaking policy stability for financial stability?

The latest MPC review sounded calm, confident and reassuring.
Rates are on hold. Inflation is within tolerance. External buffers look strong.
Yet markets are sending a very different signal.

#RBI #RBIPolicy

BasisPointInsight.com - Policy Reflects Growth Concerns by Rupa Rege Nitsure Repo cut and liquidity infusion signalled the RBI’s deeper worry that growth momentum is softening despite strong headline numbers. by Rupa Rege Nitsure, BasisPointInsight.com

1/2 The RBI’s December policy may look upbeat on the surface, but the combination of a repo rate cut, durable liquidity infusion and cautious language signals a deeper concern: growth momentum is softening even as headline numbers stay strong.

#IndiaEconomy #RBIPolicy #MonetaryPolicy

BasisPointInsight.com - Crawling Rupee, Creeping Risks on the RBI’s December Tightrope by R. Gurumurthy A deceptive macro calm hides real fragilities, leaving the RBI heading into this review with plenty of room to misstep. by R. Gurumurthy, BasisPointInsight.com

1/2 RBI’s December Dilemma: Calm on the Surface, Fragility Beneath

A deceptive macro calm hides real fragilities, leaving the RBI heading into this review with plenty of room to misstep.

#RupeeWatch #RBIPolicy #InflationSignals #CreditStress #MonetaryTightrope #IndiaEconomy

BasisPointInsight.com - India’s Exchange Rate Regime Faces a Moment of Truth by V Thiagarajan With the rupee trading like a caged bird and IMF reclassification looming, India faces a reckoning on what its exchange rate regime really is. by V Thiagarajan, BasisPointInsight.com

2/4 With the IMF’s upcoming staff report expected to revisit India’s regime classification, the disconnect between what we declare and what we actually do is under sharper scrutiny than ever.

#IMFReview #RBIPolicy

5/6 RBI is focused on financial 🛡️ stability FIRST, but also wants to boost lending & support productive sectors. 💪 Credit growth has slowed, so these moves are key! 🚀 #FinancialStability #Lending #RBIpolicy

5/6 RBI emphasizes financial 🛡️ stability first, but aims to unlock credit & support productive sectors. Lending slowdown being addressed. 💪 Governor defends moves as *not* relaxations. #FinancialStability #CreditGrowth #RBIpolicy

5/7 Inflation forecast revised DOWN to 2.6% for FY26! 🎉 Easing food prices 🍎 & GST rationalisation are key drivers. Inflation is now firmly within the RBI’s comfort zone. #Inflation #PriceStability #RBIpolicy

5/7 Inflation forecast revised DOWN to 2.6% for FY26! 📉 Easing food prices 🍎 & GST rationalisation are key drivers. Inflation is now firmly within the RBI’s comfort zone. ✅ #Inflation #PriceStability #RBIpolicy

RBI’s New Directive on International Trade Settlement in Indian Rupees Revolutionising Trade: A Strategic Move Towards Economic Sovereignty and Globalisation of the Indian Rupee

RBI’s New Directive on International Trade Settlement in Indian Rupees
open.substack.com/pub/naleen/p...
India simplifies trade, strengthening rupee
weakining dollar further
#RBI
#RBIpolicy
#Dollar
#Dedollarisation

Indian rupee seen under pressure on US tariff worries, RBI policy in focus By Dharamraj Dhutia and Jaspreet Kalra MUMBAI (Reuters) -The rupee is likely to stay under pressure this week as concerns over steep U.S. tariffs on Indian exports linger, while the Reserve Bank of India (NSE:BOI)’s upcoming policy decision also looms large over the currency and government bonds. The rupee closed at 87.54 against the U.S. dollar on Friday, down 1.2% for the week, pressured by persistent foreign portfolio outflows and a 25% levy on Indian exports. While the local unit is hovering near its weakest level since February, fresh tariff announcements on dozens of U.S. trading partners also pushed other Asian currencies to multi-month lows. The dollar index, meanwhile, posted its best weekly gain since 2022 as expectations of a U.S. rate cut in September faded. The odds of a reduction in September rose to 80% after data released on Friday showed that the U.S. economy added fewer jobs than expected, while the unemployment rate rose to 4.2%. Meanwhile, the maturity of a $5 billion dollar-rupee buy/sell swap conducted by the RBI earlier this year will be in focus on Monday. "It would be prudent to break the swap into delivery and rollover. The rupee has probably seen its worst for this quarter and some support will bring it to a desirable level, while not disturbing liquidity, said Alok Singh, group head of treasury at CSB Bank. Traders expect the rupee to trade between 87.00 and 87.80 this week and reckon that the central bank may continue to intervene to limit excessive volatility. Meanwhile, India’s 10-year benchmark 6.33% 2035 bond yield, settled at 6.3680% last week, up 2 basis points (bps). Traders anticipate the yield will remain in the 6.33%-6.38% band till the RBI’s policy decision on Wednesday. The range could be tested on either side, depending on policymakers’ decision and guidance. Although some market participants expect a rate cut, a majority of economists polled by Reuters believe RBI will hold rates steady this time. "While it is a close call, our bias remains for a 25 bps rate cut at the August meeting," Citi said. A drop in India’s retail inflation to a more-than-six-year low in June, coupled with expectations that it may slip to a record low in July, have heightened hopes of a rate cut. However, RBI Governor Sanjay Malhotra last month said that the bar for further easing is now higher than it would have been if the stance was still "accommodative". The central bank slashed rates by a steeper-than-expected 50 bps in June and shifted its policy stance to "neutral" from "accommodative". "As the RBI awaits the impact of the large easing it has already done, we believe it will stay put on repo rate changes on 6 August," HSBC said in a note. Key Factors: India ** July HSBC services PMI and composite PMI - August 5, Tuesday (10:30 a.m.) ** Reserve Bank of India’s monetary policy decision - August 6, Wednesday (10:00 a.m.)(Reuters poll - no change) U.S. ** June factory orders - August 4, Monday (7:30 p.m. IST) ** June international trade - August 5, Tuesday (6:00 p.m. IST) ** July S&P Global composite PMI final - August 5, Tuesday (7:15 p.m. IST) ** July S&P Global services PMI final - August 5, Tuesday (7:15 p.m. IST) ** July ISM non-manufacturing PMI - August 5, Tuesday (7:30 p.m. IST) ** Initial weekly jobless claims for week to July 28 - August 7, Thursday (6:00 p.m. IST)

Click Subscribe. #IndianRupee #USTariffs #RBIPolicy #Economy #FinanceNews

Weekly Finance Update: July 7–12, 2025 Explore the key developments in the Indian financial markets from July 7 to July 12, 2025. This overview discusses stock market performance, economic indicators, regulatory updates from the Reserve Ba...

Weekly Finance Update (7–12 July 2025) | Nifty Trends, RBI, Economy, SEBI News
#FinanceUpdate, #Nifty50, #RBIPolicy, #IndianEconomy, #SEBINews, #MarketTrends, #StockMarketIndia, #WeeklyWrap, #EconomicInsights, #InvestSmart, #BlueSkyFinance, #MacroView, #RegulatoryWatch, #EquityPulse, #FintechIndia

Scope for 25-50bps RBI Easing with Sharp CPI Cooling: Report - The Raisina Hills India’s inflation metrics is likely to soften significantly in June, boosting expectations for further monetary easing by the RBI.

India’s inflation metrics is likely to soften significantly in June, boosting expectations for further monetary easing by the RBI. #rbipolicy #inflation theraisinahills.com/scope-for-25...

Tata Or Batata? Nilesh Shah Lays Out India’s Market Mindmap From HFT to FDI, inflation myths to rupee truth, Nilesh Shah maps India’s market future—in metaphors only he can mint.

2/2 For a flavourful read, don’t miss our Q&A on BasisPoint Insight: basispointinsight.com/Story/Home/t...

Watch the full interview on our YouTube channel: youtu.be/885QYOoSYSE

#NileshShah #Markets #FDI #BondMarkets #RBIPolicy #Stocks

A Vote Apart, Why Monetary Policy Needs Dissent Dissent in the RBI’s rate-setting committee is not defiance. It is foresight. As policy turns bold, a lone voice may be asking the right questions.

A lone dissent in RBI’s MPC is not defiance — it’s foresight. As rate cuts turn bold, dissent signals healthy debate, not chaos. Central banks need voices of caution too.

Read the article by Sujit Kumar & Rajendra Paramanik here: basispointinsight.com/Story/Search...

#RBI #RBIPolicy #MPC #CRR

Surplus Transfer: Windfall For Government, Balancing Act For RBI By transferring a record surplus to the central government and a larger chunk to the risk buffers, the RBI has balanced between supporting fiscal needs and preserving policy credibility.

By transferring a record surplus to the central government and a larger chunk to the risk buffers, the RBI has balanced between supporting fiscal needs and preserving policy credibility, writes R Gurumurthy

Read R Gurumurthy's analysis here: basispointinsight.com/Story/Policy...

#RBIPolicy #RBI

RBI Frontloads Hyper Accommodation The RBI’s frontloaded stimulus lifts markets, but its ability to revive growth is constrained by weak income, tepid investment, and global drag.

RBI fires its big guns. Markets cheer, but can easy money fix faltering incomes & weak investment? Liquidity helps sentiment, not structural growth, writes Dhananjay Sinha.

Read: basispointinsight.com/Story/Home/r...

#RBI #RBIPolicy #RBIMPC #SanjayMalhotra #RateCut2025 #FrontloadPolicy

Stock Market Calls Bull Spread with Risk-on for RBI Policy Decision - The Raisina Hills Indian equity markets extended their gains for the second straight session on Wednesday, buoyed by strong buying in the pharma and realty.

#StockMarket Indian equity markets extended their gains for the second straight session on Wednesday, buoyed by strong buying in the pharma and realty. #RBIPolicy #Nifty #NiftyBank theraisinahills.com/stock-market...

The Reserve Bank of India (RBI) has approved a record surplus transfer of ₹2.69 trillion ($31.5 billion) #rbipolicy #india #finance #economy #money #financenewsindia

Headline inflation cooled to 3.3% in March—but core inflation is rising, and consumption remains weak.
How will the RBI pivot play out?

Read Dhananjay Sinha's article to know more: basispointinsight.com/Story/Home/c...

#InflationTrends #RBIPolicy #CoreInflation #MonetaryPolicy #IndianEconomy

RBI Cuts Repo Rate by 25 bps to 6%, Shifts Policy Stance to ‘Accommodative’ RBI cuts repo rate by 25 basis points to 6% and shifts policy stance to ‘accommodative’ amid global economic uncertainty and trade frictions.

🚨#BREAKING | RBI cuts repo rate by 25 bps to 6%, shifts policy stance to ‘accommodative’ amid global trade tensions.

Details Here: theheadliner.in/business/rbi...

#BreakingNews #RBI #RepoRate #StockMarket #RBIPolicy #RBIMPC #TradeWars

RBI's Rate Cut Fails To Ease Market Rates Amid Tight Liquidity Grip Despite easing inflation and a long-awaited rate cut, tight liquidity and weak transmission have kept market rates stubbornly high under RBI’s watch.

5/ What’s your view? Can the RBI improve monetary transmission?

Read the full analysis here: basispointinsight.com/Story/search...

#RBIPolicy #InterestRates #Banking #Economy