Synopsis
“Crude oil price is always a big joker in the pack which one needs to watch out for because India is and will continue to be a price taker and not a price maker. But I do not really see inflation doing a Laal Singh Chaddha or a Forrest Gump and keep on running. Therefore, the central banker need not really behave like F1 racing champ Schumacher.”ETMarkets.com“At these levels, any uptick in the current account deficit (CAD) is already priced in by the market. Any positive surprise or anything better from the current levels, will only be a positive surprise,” says Lakshmi Iyer, President, CIO-Debt & Head-Products, Kotak Mahindra AMC
The RBI governor is of the view that inflation is going to come down to as low as 4% in FY24. Do you think he is optimistic or he is realistic?
If you looked at the trajectory for inflation where it is right now vis-à-vis where it is likely to be given the components that actually drive the inflation, it is not impossible to envisage that glide path for sure. It is not going to be a slam dunk as well. Take one step at a time and so far so good as far as the financial year has started off well in terms of where we are going incrementally.
Looking at the contributors to inflation
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