Overseas funds reduced investments in some sectors this June. Fast-moving consumer goods saw the biggest selloff. Power sector also experienced significant outflows. Financial services received substantial inflows. Interest rate cuts by RBI boosted financial sector investments. Geopolitical tensions and trade issues may affect future flows. Chemicals, oil & gas, and capital goods saw some investment.
Banks unlikely to reduce deposit rates despite RBI easing
Following the latest repo rate decrease, bankers foresee only slight adjustments to deposit rates. The landscape, characterized by sluggish savings yields and elevated credit-deposit ratios,