High food inflation and incomplete transmission of the 250 basis point policy rate hikes since May 2022 could delay the Reserve Bank of India’s (RBI) rate cut. Transmission through loan and deposit rates varied between 111 and 245 bps until May 2024, except for loans linked to external benchmarks, which had immediate full transmission.
Avoid euphoric valuations, keep cash for better entry points: Pankaj Tibrewal
Pankaj Tibrewal of IKIGAI Asset Managers finds current valuations too high for new investments. Defence sector valuations are especially prohibitive. Cement sector, particularly in South