Consumer price index (CPI)-based inflation eased to 6.77 per cent in October compared to 7.41 per cent in September. Debt fund investors need to align their investment strategy with the more benign inflation outlook that is emerging.
Expectations from the RBI
According to experts, peak inflation is probably behind us. CPI-based inflation is likely to trend lower over the next six months.
“We expect the Reserve Bank of India (RBI) to go for a 35-basis-point hike in December and a 25-basis-point hike in February. It will probably take the repo rate to 6.5 per cent and then pause, while maintaining