The RBI may "pause" the repo rate hike in February policy, though it could still guide the markets with a rate action in future that will be purely data dependent, says SBI Research
Commodity prices don’t react to just interest rates but also to supply and demand changes. Higher interest rates mean slower growth prospects, says Prof Sarjanovic.
Analysts think that a well-communicated monetary normalisation strategy would avert a hard landing of the economy or a recession.
The Sensex and Nifty are poised to open higher on Thursday as global markets rallied after the U.S. Federal Reserve hiked interest rates in line with market expectations.
The central bank may go for other rounds of rate hikes in June and August and a 75 basis points rate hike in FY 2022-23 looks imminent, says an SBI Research report.
World’s biggest hedge fund manager believes rate hikes will not be able to curb inflation either.
