Benchmark Rate

Banks, FIMMDA discuss MIBOR replacement with collateralised rate framework

Banks bat for collateralised benchmark with a balanced 50-50 weighting between TREPS and CHROMs

Global trends, trading activity of FPIs key factors to drive mkt sentiments

Movement in the stock market this week will largely be driven by global trends, macroeconomic data announcements and trading activity of foreign investors, analysts said. Equity benchmark indices, which are on a dream run for the past several days, will also track trading in global oil benchmark Brent crude and movement of rupee against the US dollar. "The next FOMC (Federal Open Market Committee) meeting is scheduled for mid-September, but before that, the market will be closely watching upcoming US economic data. Key indicators like manufacturing PMI, non-farm payrolls, and unemployment rate will be released this week, all of which could significantly influence market sentiment. "Institutional flows will play a critical role," said Santosh Meena, Head of Research, Swastika Investmart Ltd. The primary driver behind the bullish momentum in the domestic market is the growing anticipation of a rate cut in the United States and buying support from domestic investors. Auto stocks woul

Cocoa prices recover after slumping 20% amid record low liquidity

July London cocoa futures on the ICE exchange fell nearly 15% on Monday for their largest one-day loss and then lost more than 10% at the market open on Tuesday

US Fed keeps key rates unchanged at 5.25%-5.5% for 5th straight meeting

Fed still expects three rate cuts in 2024 despite sticky inflation, stronger economy

China's central bank leaves benchmark lending rates unchanged, as expected

China has set an economic growth target of "around 5%" for 2024, a rate that economists say is ambitious and calls for more stimulus, including monetary and fiscal easing

Federal Reserve expected to leave benchmark interest rate unchanged

Fed Chair Jerome Powell has said the pieces of the low-inflation "puzzle" may be aligning, though the central bank hasn't declared its inflation fight over

RBI expected to retain 6.5% benchmark rate in monetary policy, say experts

The RBI is expected to retain the benchmark rate of 6.5 per cent in its latest bi-monthly monetary policy review, amid inflation concerns and other global factors, experts said. RBI Governor Shaktikanta Das-headed Monetary Policy Committee (MPC) started its three-day meeting on Wednesday, and the policy review will be announced on Friday morning. I think that between the last MPC meeting in August and this time, inflation has gone up, growth remains strong while global factors have turned a little adverse in the sense that the US Federal Reserve is still aggressive in its stance, which has led to hardening of yields. In this situation, the central bank is expected to maintain a status quo on policy rates in the ensuing policy, Crisil Chief Economist D Joshi told PTI. He said the RBI would focus more on inflation given that growth is strong right now, adding oil price movements need to be watched carefully, too. "We believe that the interest rates will be on the higher side, which .

A roller-coaster ride: FPIs propel Nifty to reclaim 18K; Sensex tops 60K

The Sensex ended above 60,000 and the Nifty above 18,000 for the first time since September 14

SBI raises benchmark prime lending rate by 70 basis points to 13.45%

The country's largest lender, State Bank of India (SBI), raised the Benchmark Prime Lending Rate (BPLR) by 70 basis points (or 0.7 per cent) to 13.45 per cent on Wednesday. The announcement would make loan repayment linked to BPLR costlier. The current BPLR rate is 12.75 per cent. It was revised last in June. "Benchmark Prime Lending Rate (BPLR) revised as 13.45 per cent per annum with effect from September 15, 2022," the SBI posted on its website. The bank has also raised the base rate by similar basis points to 8.7 per cent, effective Thursday. The EMI amount for the borrowers who have taken loans at the base rate would go up. These are the old benchmarks on which banks used to disburse loans. Now most of the banks provide loans on the External Benchmark Based Lending Rate (EBLR) or the Repo-Linked Lending Rate (RLLR). The bank revises both the BPLR and the base rate on a quarterly basis. The lending rate revision by the SBI is likely to be followed by other banks in the days t

Gold ETFs log first monthly outflows in five months, shows data

The latest bout of outflows come amid a sharp surge in the equity markets

Punjab National Bank cuts benchmark lending rate by 5 bps to 6.50%

Punjab National Bank on Wednesday announced the cut in its benchmark lending rate

RBI's status quo on policy rates to aid economic recovery: Experts

India Inc and experts on Friday said the RBI's decision to hold interest rates will support economic recovery in the aftermath of the Covid-19 pandemic.

RBI Monetary Policy: Here's what to expect from the December meeting

The members of the Reserve Bank of India's fourth bi-monthly monetary policy Committee began their three-day meeting today, and are expected to announce the outcome on Friday

RBI's Monetary Policy Committee starts 3-day deliberation on key rates

The Monetary Policy Committee (MPC) of RBI began its three-day deliberation on Wednesday here amid expectations that the central bank will maintain status quo on the benchmark lending rates in view of high retail inflation. The RBI will announce its monetary policy review on December 4. After its last MPC meeting in October, RBI kept policy rates unchanged to help tame inflation that in the recent times has surged past 6 per cent mark. RBI projected the country's GDP to contract 9.5 per cent in the current financial year due to the pandemic. It has cut policy rates by 115 basis points since February. Experts opined that RBI may not slash policy rate in the wake of rising Consume Price Index (CPI)-based inflation driven mainly by supply side issues. Amar Ambani, Senior President & Institutional Research Head at Yes Securities said with frequency indicators and GDP data conveying meaningful rebound in economic activity and retail inflation remaining stubbornly high, "we not only ...

RBI announces a mix of unconventional steps to check borrowing costs

Das doubled the size of open-market bond purchases to $2.7 billion, offered to buy state debt, and also ease a corporate cash crunch through a Rs 1 trn of targeted long-term funds available on tap

Market regulator's default benchmark rates leave rating agencies in a lurch

Sebi has put default benchmark rate at zero for certain ratings, tenures

Banks, firms work on strategy for transition from LIBOR to new benchmark

Will be simple for loans, tricky for derivatives, say experts

External benchmark: Right step, wrong tool

While politicians and businessmen don't see eye to eye on anything during a slowdown, the one thing they all agree on is that cutting interest rates would spur growth

Best of BS opinion: Valuing dissent and dealing with a Valley of discontent

From the the banking industry's new benchmark challenge to managing the problem of urban water and restoring normalcy in the Valley, here's a selection of Business Standard Opinion pieces for the day

Short-term loans to get cheaper

Benchmark rate for new loans to be lower by 80-90 bps from Friday; move could increase competition but hit commercial papers