Let us first look at the arguments that favour a rate cut. RBI made it clear in its last policy statement that a change in its stance to āaccommodativeā is an indication of future rate cuts. Hence, the debate on whether such a stance meant there would be more liquidity rather than rate action is…
(Bloomberg) — UK Chancellor of the Exchequer Rachel Reeves will hold talks with US Treasury Secretary Scott Bessent this week, as the two countries continue to finalize the details of an agreement to cut tariffs imposed by President Donald Trumpās administration. The two are set to speak on the sidelines of the Group of Seven…
Though Indian stock market indices have a record of falling in response to armed conflicts, the latest strike by India on targets in Pakistan did not bother investors on Wednesday. The Sensex edged lower at first, but quickly recovered to end 0.13% higher. It offered a sharp contrast with Pakistanās market, whose primary index dropped…
The Trump administration sees its resource deal with Ukraine as a model for further international agreements, reflecting the presidentās strategy of using Washingtonās foreign policy heft to secure assets and investment returns overseas.Ā The deal signed on Wednesday grants the US privileged access to new projects that develop Ukraineās natural resources, and was a key…
Donāt expect the Federal Reserve to rescue the US economy from the epic tariffs imposed by the Trump administration on imports from most of the world. The only question now is how bad the damage will be. The US Presidentās attack on free trade is truly extraordinary in its scope, scale and lack of nuance….
After all, the US was pretty close to full employment and its labour market has been fairly tight for years. Inflation had begun to float down. So it is inexplicable why he would break something that wasnāt broken. As Fareed Zakaria set out in a recent video, in 1990 the US economy was the same…
There is now an overwhelming consensus in financial markets that the six members of the Monetary Policy Committee of the Indian central bank will vote to reduce policy interest rates once again at their next meeting later this month. There is ample reason for them to do so. Inflation has been receding for four months…
On 1 February 2025, Indiaās finance minister Nirmala Sitharaman presented her record eighth budget in Parliament. Her budgets have usually been characterized by three signature features: transparency, fiscal prudence and high capital expenditure (capex). However, in the 2024-25 and 2025-26 budgets, there is a visible tension between the latter two. Capex growth has been drastically…
Accounting conventions require that capital is accounted for in the balance sheet of the enterprise, and expenditures and incomes in the profit-and-loss account. This is universal for all corporate enterprises, be they business ventures, government agencies or ānon-profitā organizations. Businesses account for their assets of land, machinery and money in the bank on their balance…
The US-India economic partnership is the envy of many. But our joint mission of achieving $500 billion in bilateral trade by 2030 stands on shaky ground. US President Donald Trumpās reciprocal tariff policy, due to come into effect on 2 April, has upset global markets and will strain our trade relations. India must keep its…
