The RBI has tightened money supply in the Indian markets by raising the CRR by 25 bps and in a surprise move raised the repo rate by 50 bps taking it to 9.0% [This is the rate at which banks will borrow from RBI] We had expected a 25bps repo rate hike.
GDP growth projection for 2008-09 revised from the range of 8.0-8.5 per cent to around 8.0 per cent, barring domestic or external shocks. While the policy actions would aim to bring down the current intolerable level of inflation to a tolerable level of below 5.0% as soon as possible and around 3.0 per cent over the medium-term, at this juncture a realistic policy endeavour would be to bring down inflation from the current level of about 11.0-12.0 per cent to a level close to 7.0% by March 31, 2009.
The Indian Stockmarket has reacted sharply to the news and the BSE SENSEX was down 500 points. Banking and Real Estate Stocks are the worst Hit.
Popular Posts
-
NSE Indices launches a new index - Nifty Total Market Index. The Nifty Total Market index aims to track the performance of 750 stocks cover... -
Moneycontrol has introduced a new feature Moneycontrol Terminal - an enhanced version of real time price updates. Though there were live quo... -
What is Gold Bees or Gold ETF? Gold ETFs are open-ended mutual fund schemes that will invest the money collected from investors in stand... -
What is Nifty Bees? Nifty BeES, the first ETF in India, was introduced by Benchmark Asset Management Company in 2002 and currently m... -
Before we get into details of NSE Level 3 Data , it is important to first understand the basic operations of the stock market. All publicl...
