Group items tagged

WPI-based inflation fell to 4.70% (provisional) for the month of May, 2013 (over May, 2012) as compared to 4.89% (provisional) for the previous month and 7.55% during the corresponding month of the previous year.

Indian economy struggled for the last 5 years & impacted the overall project of India. Post NDA government at the center and subsequent slew of policy reform inflicted positive waves within the economy. The stringent control on black money movement and management forced many businesses to release the hoarded corps which impacted the CPI, WPI.

GST slab release impacted sensex today. The slab of 12% & 18% is clever move by the government to increase taxes on the services. It is expected that sensex will be under pressure till the time fine blue print don't come out as the slab rates are higher than expected.

The RBI Governor has chosen to come with a very mixed policy; we have a rate cut and a rate hike in the same document. However, the market is treating it as a rate hike rather than a rate cut. The RBI, contrary to expectations has chosen to give a clear signal that fighting inflation is its core priority.