How market participants read RBI's order of priority has a bearing on how well monetary policy works
· livemint.com
The decision to hold India’s policy rate steady in the face of inflation risks felt like a foregone conclusion. Now that RBI watchers appear to have assumed a hierarchy of policy goals, India’s central bank must mull over the potential consequences.
That view influences not only expectations of the next policy decision, but also how markets interpret every inflation reading and communication from the MPC. T...