BUSINESS
Banks’ treasury income to remain muted in Q3 on narrow yield movement of govt securities
The yields have moved in a narrow range due to low demand from foreign portfolio investors and stable domestic conditions. Further, sluggish growth and widened merchandise trade deficit, and rising US Treasury yield kept yields on government securities in the tight range.
BUSINESS
Rupee declines to 85.76 as strong dollar demand, weaker yuan put pressure
In the near-term, emerging market currencies are expected to be guided by how incoming US economic data shapes expectations of rate cuts by the Federal Reserve
BUSINESS
Indian rupee may face pressure in 2025 as strong dollar, geopolitics, and RBI interventions shape outlook
Going forward, experts believe the Reserve Bank of India will continue to intervene in the currency market to curb volatility. Additionally, the central bank may allow the rupee to depreciate with shallow intervention if other Asian currencies continue to fall.
BUSINESS
FPI investment in govt securities in JP Morgan bond index doubled in 2024
Going ahead, money market experts believe that another two-bond inclusion next year is expected to increase flows in these bonds
BUSINESS
RBI unlikely to change intervention strategy in currency market to make rupee stable: Experts
The Indian rupee remains the least volatile currency among its Asian peers and depreciated only 2.74 percent year-to-date
BUSINESS
Real GDP growth to recover in Q3, Q4 of FY25, says RBI’s report
During H1:2024-25, real GDP growth (y-o-y) moderated to 6.0 percent from 8.2 percent and 8.1 percent growth recorded during H1 and H2 of 2023-24, respectively.
BUSINESS
Higher outflows from banking system sucks out liquidity infused via CRR cut
Banking system has received liquidity worth Rs 1.16 lakh crore after the CRR cut by the RBI. The liquidity was infused in two tranches on December 14 and December 28.
BUSINESS
Rupee recovers a bit after strong dollar demand pushes it to all-time low of 85.81
For the year so far, the rupee has weakened by 3 percent against the US dollar
BUSINESS
Muthoot Fincorp to reorganise lending portfolio to 70% gold loans, 30% others in 4 years: CEO Shaji Varghese
The company has reviewed their policies and practices of business after the Reserve Bank of India (RBI) in September asked lenders to review it and rectify any deficiencies. Muthoot Fincorp did not find any deficiency, and everything is complied with guidelines, said Shaji Varghese.
BUSINESS
Higher deficit liquidity increases RBI’s liquidity injection via VRR auctions
The central bank has so far conducted nine variable rate repo (VRR) auctions so far this month to support liquidity in the banking system
BUSINESS
National Pension System’s AUM to rise to Rs 15 lakh crore by FY25-end, says PFRDA chairman Deepak Mohanty
According to the PFRDA data, AUM of the NPS stood at Rs 13.55 lakh crore as on November 30, 2024, as compared to Rs 11.72 lakh crore as on March 31, 2024.
BUSINESS
Expected rise in senior citizens positions NPS as India's pension cornerstone: LIC's Siddhartha Mohanty
Scheme C in the non-government sector has delivered an average return of 9.4 percent over the last 15 years, outperforming corporate bond funds managed by mutual funds at 7.4 percent. Scheme G in the non-government sector has achieved an average return of 8.8 percent, Mohanty said.
BUSINESS
RBI does not have to follow what other central banks do, says MPC external member Nagesh Kumar
Going ahead, Kumar said that MPC meeting in February would take stock of how the inflation-growth balance was shaping up between now and then against the backdrop of global trends.
BUSINESS
Galaxy Health Insurance to prioritise agency sales channels for a few years: CEO G Srinivasan
In the last one and a half months since launch, the company has sold about 800 policies with a total premium of about Rs 1.5 crore.
BUSINESS
RBI MPC members expect food inflation to ease in Q4, show minutes
In November, India’s retail inflation eased to 5.5 percent in November from a 14-month high of 6.2 percent in the previous month, as food prices cooled off.
BUSINESS
High demand from FPIs, insurance companies pull G-sec yields down 38 bps
Indian bond yields may fall further on anticipation of rate cut in the February monetary policy review, experts say
BUSINESS
RBI intervention in FX market increases as Rupee touches record low
The Indian rupee today hit a record low of 85.1050 against the US dollar during the afternoon trade, as compared to 85.0838 at opening against the greenback. Timely intervention by the RBI has kept the Indian rupee at 85.0818 against the greenback, which is lower than previous record low levels, another trader at brokerage firm said.
BUSINESS
Central banks across globe to keep focus equally on tackling inflation and growth
Economists believe that growth is expected to pick up in most economies. In the US, it is growth is expected to rise on account of a fiscal boost by Trump 2.0 and in India it may recover in the coming quarters.
BUSINESS
Indian rupee ends all-time of 85.0775 against dollar after US Fed signals fewer rate cuts in 2025
The Indian currency opened at 85.04 against the US dollar on December 19, after the Federal Reserve lowered its key interest rate by a quarter percentage point in the third consecutive reduction
BUSINESS
Rupee sinks to all-time low, likely to fall to 85 against dollar
The rupee slipped to a new low of 84.94 against the dollar, just 6 paise shy of the 85 mark
BUSINESS
Loan write-off by banks hits 7-year low in 2024 on better asset quality
Even though the total write-offs have fallen to seven-year lows, it remains over three times higher than it was before AQR
BUSINESS
Corporate bond issuances touch all-time high of over Rs 10 lakh crore so far in 2024
The yield on corporate bonds has declined by around 43 basis points so far in 2024, tracking the easing yield on government securities, prompting more issuers to tap the market and raise funds at better rates.
BUSINESS
Banks moves a few loans from EBLR to fixed rates in anticipation of 25 bps rate cut
Banks are bracing for a minimum 25 bps rate cut in the February 2025 policy. Retail loans not mandatorily required to be priced on external benchmark rates are being repriced as fixed rate loans by banks to protect their profitability.
BUSINESS
CD issuances at a 4-year high in 2024 as fight for deposit intensifies
The surge is also because demand for deposits goes up at the end of the quarter to meet credit requirements. Instead of repaying the maturing deposits, banks usually roll over CDs to helps maintain deposits
