Inflation data starts to cool off with the New crop
1 Feb 2021 ● 04:37 AM
As we head into the Budget Retail inflation has dropped in Dec, and by the weekend RBI will look at Jan's data as well and maybe ready to resume its rate-cutting trend. This is essential for the government to extend its spending plans. The second requirement is speeding up the privatization drive already announced in May 2020. Lower interest rates are going to keep a trigger on spending and borrowing, pushing for credit growth to make a come back. This is a positive Macro after a long time for financial markets.