Interest Rate Hike

Unseasonal rains impacting rural demand, high-interest rates on auto loans and increased costs due to new regulatory norms are making the automotive industry cautious about the growth prospects in the current fiscal. The industry --- which witnessed the first full year without any impact of COVID-19 in FY23 after a gap of two years with double-digit growth of 21 per cent in overall retail sales -- is now set to clock tapered growth in the low single-digit due to a high base, according to the Federation of Automobile Dealers Associations (FADA). As per data shared by the dealers' body, the total domestic vehicle retail sales stood at 2,21,50,222 units in FY23 against 18,3,27,326 units in FY22. Maruti Suzuki India Senior Executive Officer, Marketing and Sales, Shashank Srivastava said the unseasonal rains in March and early April could have a dampening effect on the sentiment in the rural areas. "Because this is the harvest time and these rains are not so good (for the rural sales),"

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Gains in index majors HDFC twins and Reli­a­nce Industries helped offset los­ses in IT, Power and FMCG stocks amid weak global trends

"It is now necessary to assess the cumulative impact of our action taken so far"

CLOSING BELL: Shaktikanta Das said the move was only "a pause and not a pivot"

Dragged down by a sharp slump in the fourth quarter, world trade volume grew by 2.7 per cent, "a smaller-than-expected increase"

Retail inflation rose 6.44% year-on-year in February, easing from 6.52% in January but has remained above the RBI's mandated target range of 2%-6% for 10 out of the last 12 readings

Borrowing costs for both developers and homebuyers will rise, leading to higher housing prices on the one hand, and diminished demand from buyers on the other

New Zealand's central bank surprised economists on Wednesday by imposing an aggressive half-point rate rise to bring its benchmark interest rate to 5.25%. It was the Reserve Bank of New Zealand's 11th straight rate hike as it tries to cool inflation, which is running at 7.2%, far above the bank's target level of around 2%. It brings the key rate to its highest level since the Global Financial Crisis in 2008. New Zealand's benchmark rate is now among the highest in the developed world, and the bank's aggressive action stood in contrast to Australia's central bank, which on Tuesday decided to pause its round of rate hikes and leave its benchmark rate at 3.6%. Most economists had expected the Reserve Bank of New Zealand to impose a more modest quarter-point rise after the nation's economy contracted in the December quarter and a destructive cyclone hit in February, killing 11 people and causing billions of dollars in damage to homes and infrastructure. The currency rose on the ...

Inflation is set to drop sharply from the current 10.4% level in the coming months due to lower energy prices and base effects, as last year's sharp price jumps are not repeated

Sterling rose to a new 10-month high against the dollar, while the euro reached its highest since February

One feels that arguments in favour of a pause in April are strong

Some brokerages bet on consumer staples, preferring this more defensive space

Under pressure to bring down retail inflation and keep pace with global peers, the Reserve Bank may go in for 25 basis points hike in benchmark interest rate, probably the last in the current monetary tightening cycle that began in May 2022, at the bi-monthly policy to be unveiled on Thursday. The Monetary Policy Committee (MPC) of the Reserve Bank will be meeting for three days on April 3, 5 and 6 to take into account various domestic and global factors before coming out with the first bi-monthly monetary policy for fiscal 2023-24. The Reserve Bank of India (RBI) has already increased the repo rate by a total of 250 basis points since May in a bid to contain inflation though it has continued to remain above the central bank's comfort zone of 6 per cent for most of the time. The two key factors which the RBI Governor headed committee will deliberate intensely while firming up the next monetary policy are -- elevated retail inflation and the recent action taken by central banks of ..

Sustained rate hikes by global central banks, Russia-Ukraine war, stubborn inflation and developed world banking crisis kept a leash on stock price performance

The interest rate on the Public Provident Fund has yet again been kept unchanged at 7.1%

Egypt's Central Bank said it raised interest rates on Thursday as the embattled Middle Eastern country continues to battle surging inflation and a depreciating currency. In an online statement, the bank's monetary policy committee said the most basic lending rate, the overnight deposit rate, has increased from 16.25% to 18.25%. The hike aims to ease spiraling inflation, with the annual figure reaching 32.9% in February, up from 26.5% in January. Nearly a third of Egyptians live in poverty, according to official figures, and are struggling to keep up with rising prices, which have soared since Russia invaded Ukraine last year. The prices of basic items such as grains, meat, poultry, fish and fruit, have risen drastically over recent months. Since the outbreak of the war in Europe, the Egyptian pound has lost more than 50% of its value against the dollar. The currency slide accelerated after Egypt first announced it had reached a $3 billion bailout agreement with the International .

The era of low interest rates and easy credit is over in the Asia Pacific region. Amid greater market volatility and slower Asia-Pacific economies, funding access could tighten sharply, said S&P Global Ratings in a report.

Why did RBI fail to convince SC on bank frauds? What should borrowers do amid rising interest rates? Which sectors should you bet on in FY24? What are municipal bonds? All answers here

Increased competition, lower spreads, moderate growth are among hurdles to overcome