Market Outlook: Continuous rise in Indian rupee may make RBI wait on rate cut, says Vinod Nair

Published: November 24, 2014 6:35:20 PM

Market continued higher led by Banks and IT, expecting cut in rate, positive for banks while increase...

Market continued higher led by Banks and IT, expecting cut in rate, positive for banks while increase in Indian rupee and liquidity has helped IT sector.

Banks have point of disappointment in 2nd Dec as RBI may not cut rate.

Continuous rise in INR may tend RBI to wait and understand the trajectory post Nov’2014 due to base impact as mentioned in earlier policy.
But the risk is low since we have seen China cutting rate in spite of FED likely to increase rate in H1CY15. Hence if not immediately India is likely to enter phase of lower rate in CY15.

Added winter session is very high especially on GST, Insurance Bill, Coal and Land.

Cut in rate by China has helped metal stocks to move higher expecting support for international prices.

By Vinod Nair, Head-Fundamental Research, Geojit BNP Paribas Financial Services Ltd.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Switch to Hindi Edition
FinancialExpress_1x1_Imp_Desktop