DK Joshi, Chief Economist, CRISIL is also not surprised at the negative IIP number for December and expects the weakness to continue over the next 2-3 months.
Gaurav Kapur of RBS believes the repo rate will be left unchanged after the 50 basis points cut over the past two-and-a-half months. Focus will be on RBI‘s assessment on inflation and growth, he says. He expects some steps on monetary transmission.
The central statistical office (CSO) has come out with a new series of national accounts with 2011-12 as base year for computing economic growth rate.
In an interview to CNBC-TV18, Gaurav Kapur, Sr Economist, RBS NV spoke about his expectation from the monetary policy tomorrow. According to him the baseline assumption is that there will be no rate cut tomorrow.
While food inflation during the month hit its lowest level since January 2012, fuel inflation has been lowest since October 2009.
The capital goods growth for the month of August stood at -11.3 percent versus -3.8 percent month-on-month. The manufacturing also contracted to -1.4 percent against -1 percent from the previous month.
Gaurav Kapur, senior economist at Royal Bank of Scotland expects a large part of growth in the third quarter to come from the farm sector, which may grow over 6 percent. Manufacturing is expected to be in line with the IIP number, it may show negative growth for the quarter.
Maintaining double digit export growth for a fairly long period of time would be challenging because US is likely to see softer growth going ahead, Gaurav Kapur, senior economist, RBS said.
The new RBI chief, in his first speech, had hinted inflation will form the basis for framing the next monetary policy. With inflation coming in at 6.1 percent, experts are concerned that growth will not be given due importance, this time too.
It is a welcome sign for the Indian economy that the incoming governor knows exactly what he wants to do and that he has laid out his programme, feel experts
In an interview to CNBC-TV18, Gaurav Kapur, senior economist at RBS says that India's GDP growth may be 4.2-4.3 percent range in Q2. He expects the monsoons to provide cushioning for the data in the coming quarter.
BOI Axa Equity Fund has not fared well and has remained an underperformer for most of the investing period. According to Arnav Pandya, investors with conservative approach should stay away from this fund.
Gaurav Kapur of the Royal Bank of Scotland and N Seshadri, ED, Bank of India concur, an interview to CNBC-TV18, that the cut in rates will be passed on to the consumer and that a CRR cut is vital
The Reserve Bank of India is expected to reduce its policy interest rate by 25 basis points in a policy review on January 29, making its first cut in nine months on the back of slowing inflation and weak economic activity, economists polled by Reuters said.
Sonal Varma of Nomura Financial Advisory and Securities feels the momentum in the industrial sector seems to be stabilising and if it continues, the segment may show a significant pick up in the December quarter. According to her, the growth cycle itself seems to be stabilising and that is a positive sign.
BOI AXA Focused Infrastructure Fund has shown an improvement in its performance in recent times. The fund is suitable for risk taking investors who want an exposure to the infrastructure sector, have an outlook for 3 years or more and are willing to take a higher amount of risk.
The government has finally kicked off the divestment process. It has raked up around Rs 800 crore from the Hindustan Copper OFS, which took place on Friday. But is that enough in order to rein in the fiscal deficit? What could be the estimates of most economists?
Sajjid Z Chinoy of JP Morgan believes the situation is certainly worrying and since food inflation has not contributed much to this figure, it is hard to see inflation easing anytime soon.
Retail inflation has doubled to 10.03% in August, up from 9.86% in the previous month. In an interview to CNBC-TV18, Gaurav Kapur of Royal Bank of Scotland says WPI can climb up to 8% and even 8.5% as in November-December base effect tends to wear off.
India's Index of Industrial Production (IIP) rose 0.1% in July from a year earlier. In an interview to CNBC-TV18, Gaurav Kapur, Royal Bank of Scotland says one can expect a positive number in August. "I think the number should, by and large, remain in the range of 1-2% for atleast another quarter or so," he adds.
Whether May inflation numbers put forward a case for CRR cut, a repo cut or a combination of two is debated by a panel of three top notch economists on CNBC-TV18.
The downhill journey of the rupee continued even on Tuesday. The Indian currency touched all time lows of 55.06 a dollar, down 3 paise from the previous close of 55.03 a dollar.
In an interview to CNBC-TV18, Shubhada Rao, chief economist of Yes Bank and Gaurav Kapur, senior economist of RBS speak about their expectations from the central bank.
The Central Statistical Organization's estimates of FY12 GDP growth have come at 6.9%, below the CNBC-TV18 poll of 7.1% inspite of two consecutive good quarter of harvests.
Indian economic growth for the quarter ended September 2011 came in at 6.9%, lowest in nine months. Gaurav Kapur, senior economist at RBS says, RBI would look to cut rates only towards the second half of 2012.