International
The latest news from US Fed is that more easing is expected very soon . Any infusion of liquidity to the market in the form of QE3 will lead to Money flowing to emerging Economy and USD index will go down . USD index is falling from the high of 84 and is now at 81.5 level .International Market got impacted due to weak Export data release from Japan and expected lower PMI of China in August . China August Manufacturing PMI flash release indicates a nine Month low figure and New Export order has come down to three year low
India
Indian rupee has remain range bound between 55~56 since last two Months . Rupee has maintaintained its position with the expectation of news from Indian Government of certain policy announcement . Rupee has been in appreciating mode since last few days due to positive news of Euro which has also gained against USD and has touched 1.25 level . Finance Ministry has cleared the hike in FDI to 49% in Insurance and Pension sector but it has to cross so many barrier before it get implemented . The FDI in Retail is still unresolved due to poitical dynamic playing big impact . July Month Consumer Price Inflation (CPI) has come down marginally to 9.86% from earlier 9.93% ( June ) . As per the latest data release from RBI Credit disbursal by Indian Banks has gone up by 22000 Crores during the fortnight ending 10th August . RBI is expecting Deposit & Credit Growth at the rate of 16~17% in financial year 12~13 . Finance Ministry has allowed Housing finance Companies to take ECB loan for giving loan to build low cost housing . It looks Government is not in a mood or political position to hike the prices of Fertiliser and fuel to reduce its burdon and fiscal deficit situation .As RBI is maintaining its stand that Growth slowdown is not due to interest rate Industry will have to wait long to see lower interest rate situation . RBI has been urging the Government to cut expenditure and announce policy decison to boost growth . It looks India is in a fix as every one is holding its own position / ego .
The latest news from US Fed is that more easing is expected very soon . Any infusion of liquidity to the market in the form of QE3 will lead to Money flowing to emerging Economy and USD index will go down . USD index is falling from the high of 84 and is now at 81.5 level .International Market got impacted due to weak Export data release from Japan and expected lower PMI of China in August . China August Manufacturing PMI flash release indicates a nine Month low figure and New Export order has come down to three year low
India
Indian rupee has remain range bound between 55~56 since last two Months . Rupee has maintaintained its position with the expectation of news from Indian Government of certain policy announcement . Rupee has been in appreciating mode since last few days due to positive news of Euro which has also gained against USD and has touched 1.25 level . Finance Ministry has cleared the hike in FDI to 49% in Insurance and Pension sector but it has to cross so many barrier before it get implemented . The FDI in Retail is still unresolved due to poitical dynamic playing big impact . July Month Consumer Price Inflation (CPI) has come down marginally to 9.86% from earlier 9.93% ( June ) . As per the latest data release from RBI Credit disbursal by Indian Banks has gone up by 22000 Crores during the fortnight ending 10th August . RBI is expecting Deposit & Credit Growth at the rate of 16~17% in financial year 12~13 . Finance Ministry has allowed Housing finance Companies to take ECB loan for giving loan to build low cost housing . It looks Government is not in a mood or political position to hike the prices of Fertiliser and fuel to reduce its burdon and fiscal deficit situation .As RBI is maintaining its stand that Growth slowdown is not due to interest rate Industry will have to wait long to see lower interest rate situation . RBI has been urging the Government to cut expenditure and announce policy decison to boost growth . It looks India is in a fix as every one is holding its own position / ego .
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