The good news is that the rate hike may have been front-ended…

While the bond markets had factored another rate hike during calendar year 2018, they had really not bargained for two rate hikes in succession. But, that is exactly what the Monetary Policy Committee...
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Looking back at 1 year of GST Implementation…

On July 01st 2018 the Goods and Services Tax (GST) completed 1 full year of implementation. A total of 28 meetings of the GST Council meetings were held till date and a plethora of changes have been...
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What the Italian political crisis means for Indian markets?

The best gauge of economic worries in any country is the bond yields. When bond yields move up sharply in a very short time, then it is a signal that the country is going to print a lot more of curren...
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What happens if the RBI increases interest rates?

From the time the minutes of the last monetary policy were announced in the third week of April 2018, the bond yields on the 10-year benchmark have gone up sharply and are now inching closer to the 8%...
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April Monetary Policy maintains repo rates and holds neutral view…

The monetary policy announced by the MPC on April 05th had little by way of surprises. There was almost a consensus among the bond traders and the fund managers that the RBI would hold the repo rates ...
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Government settles for a lower H1 borrowing program…

When the government announced its H1 borrowing programme for 2018-19, two things stood out. Firstly, the first half borrowing in the coming fiscal is likely to be sharply lower than what the governmen...
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Is the Trade Deficit and the CAD really a worry?

Quite often the trade deficit and the current account deficit (CAD) are used interchangeably. There is a subtle difference between the two. While trade deficit refers to the excess of merchandise impo...
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Implications of Fed Meet outcome…

When the US Federal Reserve meeting concluded on Wednesday, there was little by way of surprise as the 25 basis points hike was already factored in. The debate was more over whether the Fed would guid...
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Impact of U.S. Import Tariffs on Global Trade…

Recently, there was a major furore when Donald Trump proposed import tariffs of 25% on Steel and 10% on aluminium imported into the US. That would immediately mean that the steel and aluminium consume...
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Bank NPAs: How the bad loan crisis is spiralling in India...

Key Word - (Bank NPA) According to recent figures put out by the RBI, the Gross non-performing assets (NPAs) of the Indian banks had crossed the Rs.8,50,000 crore mark. It would not be inappropriat...
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