Crude Above $100 Could Push Inflation to 6%; RBI May Hike Rates 50 Bps: Kotak Securities

Crude above $100 could push inflation to 6%; RBI may hike rates 50 bps: Kotak Securities

The elevated crude oil prices pose a direct threat to India's macroeconomic stability, with retail inflation projected to inch toward the 5.8 to 6.0 per cent mark by next quarter if prices stay elevated, according to Anindya Banerjee, Head - Commodity and Currency, Kotak Securities.

Oil at $100 Could Push India Inflation to 6%, Drive up Import Bills

Crude oil prices breaching the $100 per barrel mark could push India's retail inflation toward 6% by the next quarter, potentially forcing the Reserve Bank of India (RBI) to hike interest rates by 50 basis points, according to Anindya Banerjee, Head of Commodity and Currency at Kotak Securities. The surge in oil costs directly impacts India's current account deficit and drives up import bills, which puts downward pressure on the rupee. This mech…

Crude Above USD 100 Could Push Inflation Towards 6%; RBI May Raise Rates by 50 Bps This Fiscal: Kotak Securities

Get latest articles and stories on Business at LatestLY. The elevated crude oil prices pose a direct threat to India’s macroeconomic stability, with retail inflation projected to inch toward the 5.8 to 6.0 per cent mark by next quarter if prices stay elevated, according to Anindya Banerjee, Head – Commodity and Currency, Kotak Securities.   Business News | Crude Above USD 100 Could Push Inflation Towards 6%; RBI May Raise Rates by 50 Bps This Fi…