Hello Readers,
29 April 2008, a very crucial day for Indiam Stock Markets as Reserve Bank Of India ( RBI ) is going to announce Monetary policy.
The things which RBI wil take care while discussing policy is
INFLATION
Which is very high as compared to last few years.
The RBI has recently hiked CRR by 50 Bps in 2 crunches, one effective 26 April 2008 & other 10 May 2008, this wil absorb Rs 18,500 Crores of liquidity from the system.
Experts feel that due to high inflation RBI wil hike repo & reverse repo rates to tame inflation. But if the hike comes then this factor is already discounted by the markets.
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