RBI monetary policy reaction: Mr. Dhawal Dalal, President & Chief Investment Officer, Fixed Income, Edelweiss MF

8 Aug 2024 , 01:17 PM

The RBI MPC voted 4-2 to keep policy rates unchanged for the 9th consecutive policy. The policy stance was also kept unchanged. This is the last MPC for the external members who were majorly rooting for a rate cut. However, RBI remained cautious and focused on the sticky food inflation and its potential spillover effect on the broader inflation. Overall, it was a mildly cautious policy with a clear message on vanquishing the food inflation before considering a rate cut.