Connect with us

Business

Inflation in December likely hit lowest since June 2017: reports

Agencies

Published

🕒

on

IST

Bengaluru: December retail inflation is expected to have eased to its lowest since June 2017 as food costs fell and fuel prices rose at a slower pace, a Reuters poll showed, giving the central bank breathing space to keep policy on hold.

Inflation likely cooled to 2.20 per cent in December – close to the lower end of the Reserve Bank of India’s medium-term target range of 2.0-6.0 per cent – according to the Jan 3-9 poll of 41 economists. In November, inflation was at 2.33 per cent.

“Food prices fell more in December. Which maybe just a seasonal thing, but I see that as the main factor, a potential downside factor for inflation,” said Prakash Sakpal, Asia economist at ING.

 

If the latest consensus is realised it will mark the fifth month in a row consumer price inflation has held below the mid-point of the RBI’s target band.

Forecasts ranged between 1.80 per cent and 3.00 per cent, and suggested price pressures are easing off from earlier in 2018.

“Inflation has at least in the second half of 2018 surprised on the downside. I think it is common knowledge now that it is mainly driven by food prices,” said Radhika Rao, an economist at DBS Bank.

“In fact, the food and beverages component in itself has been in disinflation. December will be the third month running, where prices have actually declined year-on-year.”

Cooling inflation expectations have also been driven by lower oil prices and a rupee currency that has managed to stabilise after a steep sell-off.
Crude oil prices are down over 30 per cent since Oct 3, when it hit the highest in almost four years, and the rupee has bounced nearly 6 per cent after touching a lifetime low of 74.48 on Oct 11.

According to separate Reuters polls, the rupee is not expected to depreciate sharply from here and oil prices are predicted to rise just modestly this year.
Those expectations should keep inflation in check. And given concerns about a slowing economy after growth cooled sharply in the July-September quarter, the RBI is likely to hold interest rates next month and move to a more dovish stance, economists say.

“We expect them (the RBI) to move from ‘calibrated tightening’ to ‘neutral’, so a change in stance is very much on the cards,” said DBS’s Rao.
“But I don’t think they would go ahead and cut rates in February, but dovish language would keep the door open for easing in subsequent meetings.”


Advertisement
Loading...
Comments

Business

MPC to meet six times during 2019-20: RBI

Agencies

Published

on

Mumbai: The Monetary Policy Committee (MPC), which decides on key interest rates, will meet six times during the next financial year, the Reserve Bank of India (RBI) said.

The first meeting of the six-member MPC to decide on the first bi-monthly monetary policy statement for 2019-20 will be held from April 2 to 4.

The policy will be announced on April 4. Headed by RBI Governor Shaktikanta Das, the committee also includes two representatives from the central bank and three external members.

 

The external members are Indian Statistical Institute professor Chetan Ghate, Delhi School of Economics Director Pami Dua and Indian Institute of Management-Ahmedabad professor Ravindra H Dholakia.

According to the schedule provided by the RBI, the second meeting of the MPC in the next fiscal will be held on June 3, 4 and 6; third meeting (August 5-7); fourth meeting (October 1, 3 and 4); fifth meeting (December 3-5) and sixth meeting (February 4-6, 2020).

Continue Reading

Business

SBI raises Rs 1,251 crore by issuing Basel III-compliant bonds

Agencies

Published

on

New Delhi: The country’s largest lender State Bank of India (SBI) said it has raised Rs 1,251.30 crore by issuing Basel III-compliant bonds.

“The Committee of Directors for Capital Raising at its meeting held today on 22 March 2019 deliberated and accorded approval to allot 12,513 non-convertible, taxable, perpetual, subordinated, unsecured Basel lll-compliant additional tier-I bonds, for inclusion in additional tier-I capital of the bank…aggregating to Rs 1,251.30 crore,” SBI said in a regulatory filing.

The bonds with a face value of Rs 10 lakh each bears a coupon rate of 9.45 per cent per anum payable annually with call option after 5 years or any anniversary date thereafter, it said. The bonds were subscribed on Friday, it added.

 

State Bank of India (SBI) also said the central board of the bank at its meeting held has accorded its approval for extension of validity period for raising equity capital of up to Rs 20,000 crore from market by way of follow-on public offer, qualified institutional placement, preferential allotment, rights issue or any other mode or a combination of these till March 31, 2020.

Continue Reading

Business

Sebi fines 4 entities Rs 27 lakh for fraudulent trading in BSE stock options

Agencies

Published

on

New Delhi: Markets regulator Sebi imposed a total penalty of Rs 27 lakh on four entities for indulging in fraudulent trade in illiquid stock options segment of BSE.

Umapati Oil Mill and Ginning Factory, Yudhbir Chhibbar, Kasturbhai Mayabhai Pvt Ltd and Vimladevi Shyamsunder Khetan are the four entities, according to Sebi’s separate orders.

fter observing a large-scale reversal of trades in the BSE’s illiquid stock options segment, Sebi conducted a probe from April 2014 to September 2015.

 

Following the probe, the regulator found that the trades executed by the entities were not genuine as they were reversed within few seconds with same counter parties with significant difference in price, resulting in profit to the entities.

Securities and Exchange Board of India (Sebi) said it was a deliberate attempt to deal in such a fashion and not a mere coincidence.

The trades executed by the entities were not genuine and created an appearance of artificial trading volumes, thereby violating PFUTP (Prohibition of Fraudulent and Unfair Trade Practices) regulations, Sebi noted.

Accordingly, a fine of Rs 8.7 lakh and Rs 8.4 lakh were imposed on Yudhbir Chhibbar and Vimladevi, respectively while a penalty of Rs 5 lakh each was levied on Umapati Oil Mill and Kasturbhai Mayabhai Pvt Ltd, totalling Rs 27.1 lakh.

In a separate order, Sebi imposed a total fine of Rs 6 lakh on four promoters of Artech Power Products for delayed disclosures to exchanges regarding their change in the shareholding in the company.

Ranjith Vijayan, I V Vijayan, Repsy Vijayan and Resmi Vijayan are the four promoters, according to Sebi’s order.

The promoters have deprived the vital information to the public by non-disclosure /delayed disclosure as mandated by the Takeover Regulations, Sebi noted.

Continue Reading

Latest News

Latest News3 hours ago

Centre sets up tribunal to decide if Jamaat-e-Islami is an unlawful association

The Centre has constituted a tribunal headed by a Delhi High Court judge to decide whether there is sufficient cause...

Latest News7 hours ago

Bhagat Singh’s 88th death anniversary observed in Pakistan

Lahore: A candle-light vigil was held to mark the 88th death anniversary of Indian freedom fighters Bhagat Singh, Rajguru and...

Latest News8 hours ago

JF-17 Thunder was used to shoot down the Indian aircraft, claims Pak

Military spokesperson Major General Asif Ghafoor has rejected India’s claims that Pakistan used American-made F-16 jets to down Indian aircraft...

Latest News8 hours ago

LS Polls: Farooq Abdullah files nomination papers for Srinagar seat

Srinagar: National Conference president Farooq Abdullah on Monday filed nomination papers for the parliamentary seat from Srinagar. He will contest...

Latest News9 hours ago

Karvan-e-Aman bus remains suspended for 4th week

SRINAGAR : The Karvan-e-Aman bus, operating between Srinagar and Muzaffarabad remained suspended for the fourth consecutive week on Monday, official...

Latest News9 hours ago

Seven arrested during nocturnal raids in Shopian

Shopian, March 25 : At least seven youth have been arrested during a nocturnal raid in Arhama area of South...

Latest News9 hours ago

3 Jaish Militants arrested from Srinagar outskirts: Police

SRINAGAR — Three Jaish-e-Mohammad (JeM) militants were arrested by security forces from the outskirts of the city, police said. “Three...

Subscribe to The Kashmir Monitor via Email

Enter your email address to subscribe to The Kashmir Monitor and receive notifications of new stories by email.

Join 1,001,150 other subscribers

Archives

March 2019
M T W T F S S
« Feb    
 123
45678910
11121314151617
18192021222324
25262728293031
Advertisement