Reserve Bank of India

Dollar Marking Time Ahead of U.S. September Jobs Report

October 6, 2023

The DXY weighted dollar is unchanged. The U.S. currency rose overnight by 0.4% against the yen and 0.1% relative to the Aussie and Canadian dollars but fell by 0.2% versus the euro and sterling and by 0.1% against the Swiss franc. Based in part by the sharp recent retreat in oil prices and a very […] More

Dollar Slips and Equities Rise Ahead of Release of U.S. CPI Data

August 10, 2023

The dollar dropped overnight by 0.6% against the Aussie dollar, 0.5% versus the euro and Swiss franc, 0.4% relative to sterling and 0.1% vis-a-vis the Canadian dollar. One currency against which the dollar strengthened was the Russian ruble, which dropped 0.8%, touching the softest level (98.006/USD) since the onset of the war in Ukraine. U.S. […] More

Indian Monetary Policymakers Left Interest Rate Unchanged

June 8, 2023

Officials at the Reserve Bank of India had paused the cycle of interest rate hikes at their policy review in April and maintained the existing stance again at this month’s meeting. Between May 2022 and February 2023, the RBI’s repo rate had been increased six straight times from 4.0% to 6.5%. Consumer price inflation in […] More

Japanese and Euroland GDP Reported… Also Monetary Policy Decisions in India and Serbia

June 8, 2023

The dollar slipped further overnight, losing 0.5% against the Australian dollar, 0.4% versus the kiwi, 0.3% relative to the yen and euro, and 0.2% against the Swiss franc and sterling. One currency that fell against the dollar was the Turkish lira, which dropped 0.4% additionally. With both the European Central Bank and possibly the Federal […] More

Reserve Bank of Interest Rate Not Raised This Time But More Increases Deemed Possible

April 6, 2023

There was a central bank interest rate surprise today. The policy rate had previously been raised since May 2022 by a total of 250 basis points from a record low of 4.0% to 6.5%. That tightening had been engineered in six consecutive incremental hikes, including one of 25 basis points at the prior review in […] More

Muted Financial Market Activity Ahead of Good Friday/Easter Holiday

April 6, 2023

Aside from 0.5-0.7% gains against the Australian and New Zealand currencies, overnight dollar movement has been scant, with 0.1% dips against the yuan, euro and sterling and 0.1% upticks relative to the yen and loonie. U.S. stock futures are similarly very close to Wednesday closing levels. So are the prices of gold and oil. In […] More

Reserve Bank of India Tightens Again

February 8, 2023

At the Reserve Bank of India, the repo rate has been increased by 25 basis points to 6.5%. Prior to the pandemic’s onset, the rate had been 5.15% at the end of 2019 but was cut to 4.0% by May 2020 where it stood for two years until the current tightening cycle began in May […] More

Digesting the Powell and Biden Speeches and Other Central Bank Decisions

February 8, 2023

Fed Chairman Powell yesterday reaffirmed the assertion that inflation has begun to decline but balanced that success with views that the peak in interest rates may be higher than indicated earlier and that the job of restoring in-target inflation will take quite some time longer. With a refrain of let’s-finish-the-job, U.S. President Biden sounded like […] More

Central Bank Rate Hikes in India and Canada

December 7, 2022

The Reserve Bank of India‘s repo rate was increased 35 basis points to 6.25%. That was the fifth hike this year from a starting level of 4.0% that had prevailed since May 2020. Indian CPI inflation, although down to 6.8% in October from 7.4% in September, remains well above target. The 6.25% new interest rate […] More

Indian Monetary Policy Tightened As Well

September 30, 2022

Excessive inflation also concerns officials at the Reserve Bank of India, who raised the repo rate by an expected half percentage point to 5.90% at this weeks policy review. Three previous hikes in May, June and August had totaled 140 basis points, more than reversing 115 basis points of ease enacted in the first half […] More