Fed cuts rate again. RBI’s no rate cut disappointing

I was expecting an rate cut by RBI yesterday following FED’s rate cut just few months back. It is really disappointing to see RBI raising the CRR and tightening the cash reserve and with no rates cut. The fed on its part has come up with a second rate cut today by quater points.
 

US markets closed high on the fed rate cut and no doubt Indian markets is likely to close higher tommorow. But for lakhs of home owners who are on floating rate loans would be disappointed with RBI’s decision not to change key rates and only increase its cash reserve for which it pays zero interests to bank.

RBI had strongly criticised banks for raising interest rates citing all reasons found on book. Hopfully RBI does cut interest rates during the next review period. A rate cut would do a lot good to Indian realty market

 

 
 

1 Comment

  1. sethu

    RBI is responsible for the current rate hike and it is clear it does not care about common getting affected by rate hike. All it worries is inflation and how to reduce inflation

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