 "50-bp rate cut: The reasons and what it means")
What prompted the cut?
CPI inflation (y-o-y in %) Retail inflation dropped to nine-month low
What does it mean?
Base rate of banks (as on date) Fall in cost of funds will prompt banks to cut base rate
What next?
Inflation could go up as favourable base effect reversed from September for a few months
CPI inflation (y-o-y in %) Retail inflation dropped to nine-month low
What does it mean?
Base rate of banks (as on date) Fall in cost of funds will prompt banks to cut base rate
What next?
Inflation could go up as favourable base effect reversed from September for a few months