Bring back credibility to the Union Budget

Sustainable magic requires that the magician remain credible.

Short-term trend of Nifty looks negative

Among the sectoral indices Nifty Bank fell 2.32 per cent while Nifty PSU Bank fell 4.90 per cent.

Analysts say policymakers should also find ways to boost banks’ liquidity to ensure they drop their lending rates too.

RBI has slashed repo rate by 25 basis points (0.25 percentage points) each in last two policy reviews.

Weak monetary policy transmission could be a major concern when the MPC meets for 3 days from today.

Four of the six MPC members had voted in favour of a 25 basis points reduction in the repo rate.

Higher financial flows to the commercial sector augur well for economic activity, says RBI.

A back-to-back cut in interest rate would provide relief to borrowers in the election season, experts say.

The MPC will meet from April 2 to 4 for the first bi-monthly policy statement for 2019-20, the central bank said in a release on Monday.

The resolution of the MPC will be placed on the website at 11.45 AM on April 4, 2019.