According to the Royal Bank of Scotland (RBS) India, the RBI should reduce benchmark interest rates by 0.50 percent or 50 basis points until December 2012. From a trading point of view, RBS is of the view that rate cut of 50-100 basis points could also take place.
Lower monsoons could push food inflation higher, lack of policy, could also prompt the central bank to cut rates to prop up growth for the near term. (Moneycontrol)
Categories: General News