A study on US recessions over the past 50-odd years by Nirmal Bang suggests that recessions caused by the Federal Reserve are not uncommon. A saving grace is that recessions caused by Fed tightening are usually shallow and short-lived, and have lasted 1-3 quarters with the average decline in GDP well under 1 per cent. Here’s how a US recession may impact India.
Rupee touches one-week high; RBI plans to ease dollar bids
The rupee hit a one-week high as expectations of RBI measures to curb oil refiners’ dollar demand boosted sentiment and eased pressure on the currency.