Monetary policy committee keeps rates unchanged; central bank announces new measures to mitigate pandemic woes, as it sees 9.5% contraction in real GDP for FY21.
Foreign portfolio investors (FPIs) have taken out ₹1,30,491 crore between January and May 2020, making it the worst period in 5 years. March witnessed the maximum monthly outflow since 2016.
While the rating agency downgraded India’s sovereign rating, BofA Securities’ economists see the present downturn as cyclical rather than structural; say fiscal stimulus is critical for recovery.
The extension, which takes the total day-count of the lockdown to 54, will add to the challenges that the economy was already facing before Covid-19 took the shape of a pandemic.
The delay in stimulus announcement is disappointing and raises the probability that a stimulus, if any, might be weaker than expected, says Jefferies India.
Franklin Templeton India has closed six yield-oriented schemes—which accounted for 63.4% of its total debt-oriented funds’ average AUM. It links the closure to Covid-19-related market dislocations.
Round II of RBI’s Covid-19 crisis measures was received by the Sensex and the Nifty 50 gaining 1,116 and 331 points each before closing 986 and 273 points higher from the previous day’s close.
Analysts with varied views have the 2008 global financial meltdown as the nearest comparable to the Covid-19 pandemic. But they are agreed on one thing: the need for caution.
