While the probability of a rate cut is slim in next four months, there are high chances of it in next 12 months, Pronab Sen, Country Director at IGC said.
The bank is not far from the consensus estimate of the FY15 GDP at around 5.3 percent, and FY16 GDP around 5.8-6 percent, says Samiran Chakrabarty, Head of Research, Standard Chartered Bank.
Samiran Chakrabarty of Standard Chartered Bank says except for the government talking about inflation control from the perspective of WPI and not CPI, which fails to find a mention in the review, nothing else is new.
HZL stake sale will be a very important component on the overall divestment process where the government was hoping to get about Rs 55,000 crore, says Dr Samiran Chakrabarty, Head of Research, Standard Chartered.
Chakrabarty bases his optimism on the resilience shown by the Indian economy to high interest rates and a depreciating rupee.
Samiran Chakrabarty of Standard Chartered Bank is positive on the IIP data for September. However, he is cautious about the trend's continuity in the coming times.
On the back of the positive trade number for September, Samiran Chakrabarty, head of research, Standard Chartered Bank feels there is a possibility of current account deficit falling below the USD 70 billion target.
The Reserve Bank of India‘s (RBI‘s) surprise 25bps repo rate hike to 7.50 percent on September 20 policy meeting indicates that the new RBI governor is focusing more on inflation than growth.
Samiran Chakrabarty of Standard Chartered Bank, says the would help reduce inflation going forward. It is probably a good thing to target inflation as long as we are targeting the right kind of inflation.
In an interview to CNBC-TV18, Samiran Chakrabarty, Head of Research, Standard Chartered Bank spoke about his reading of the August trade deficit data and the road ahead.
Sonal Varma of Nomura believes that the potential growth of the economy has been declining almost in every sector.
Samiran Chakrabarty says the 3.9 percent growth in trade, hotels, transport, communication, which is a proxy of consumption implies that consumption has got significantly impacted.
Speaking to CNBC-TV18, Samiran Chakrabarty of Standard Chartered says the entire foreign investor attention is on India due to its growth. Hence, any growth promoting measure is a positive, believes Chakrabarty who hopes such measure come in more frequently.
In an interview to CNBC-TV18, Samiran Chakrabarty, Standard Chartered Bank spoke about current account deficit.
Export competitiveness may not get impacted, as bulk of the inflation is coming from items that India does not export, like food. But food inflation may continue to stay on the higher side on a relative basis if the Food Security Bill actually plays out.
By hinting at rate cuts in future and possibility of a rollback of its liquidity-control steps, Reserve Bank governor D Subbarao has managed to put a cap on the bond market yields.
If the RBI wants a stronger currency then it will have to raise rates, offer the markets higher yields. If the RBI does not raise rates, then it is going to discover again that its problem is large Current Account Deficit (CAD)
As per consensus expectations, the Reserve Bank of India (RBI) cut its policy interest rate by 25 basis points for the third time since January on Friday. It kept the cash reserve ration unchanged. In its statement RBI said there was little space for further easing.
Index of Industrial Production (IIP) for the month of February surprised the street with 0.6 percent growth versus expectations of a 1.7 percent contraction. Some experts believe that growth in exports has played a positive role but warn that it is not a very strong and sustainable recovery.
Samiran Chakrabarty of Standard Chartered Bank shared his reading and outlook on current account deficit number for Q3.
Samiran Chakrabarty of Standard Chartered Bank feels the number suggests a nascent recovery in industrial production. However, the CPI number of 10.9 percent seems to have counteracted any positive news coming out of the IIP figure, he opined.
Samiran Chakrabarty of Standard Chartered Bank says the economy may recover but not as much as the Economic Survey expects it to.
Samiran Chakrabarty of Standard Chartered Bank believes the slowdown in the service sector is to be blamed for the dismal GDP figure, which is much lower than the market estimate of 5.4 percent.
Samiran Chakrabarty of Standard Chartered Bank feels the central bank may go for a 25 bps rate cut tomorrow. According to him, the declining inflationary trend may provide room for easing rates.
Samiran Chakrabarty, head of Research, Standard Chartered Bank cautioned that there could be cascading effect on commodities transported through railway route. However, the direct impact of 50 paise per litre hike will be nominal.