New Delhi, 8 March (IANS). India’s inflation declined from 5.22 percent to 4.31 percent in January. After inflation remained above 5 percent for four consecutive months, it reached RBI’s 4 percent target. This trend strengthens the possibility of cutting potential rates, with the repo rate at 6.25 percent. This information was given in a latest report on Saturday.
According to Motilal Oswal Mutual Fund report, the market situation reflects a sense of vigilance among investors, which are associated with economic conditions, sector-specific development and global financial market trends.
In February, the Nifty 500 index declined by 7.88 percent. Factor-based strategies depicted the market movement, while the Nifty 5-year benchmark g-Sek (+0.53 percent) showed stability.
The report stated that mixed activities were seen in the global developed markets, where Switzerland took 3.47 percent and the United Kingdom gained 3.08 percent, while Japan declined by 1.38 percent.
CPI inflation in the US was 3 percent, which shows a slight increase from 2.90 percent of the previous month.
Another HSBC report states that India’s long-term outlook remains strong and in infrastructure and manufacturing government investment, boom in private investment and improvement in real estate cycling are expected to move towards boom in cycle medium period.
HSBC Mutual Fund’s ‘Market Outlook Report 2025’ is expected to be a meaningful part of the global supply chain to support more private investment, localization of high-end technology components and India’s rapid development in the release chain.
So far the real economy has shown flexibility towards global development.
The report estimates, “Development-liberty data, MPC’s previous policy action and minutes of MPC, we believe that RBI-MPC will cut another 25 BPS in its April policy, while continuing to remain fit and flexible on its liquidity strategy.”
-IANS
SKT/KR