MPC can judiciously use its tolerance band to look past temporary, supply-driven inflation spikes
· livemint.com
Rate hikes are more likely to be reactive than proactive, becoming a real possibility only if core inflation sustains above 4.5% in a broad-based manner.
Furthermore, the monsoon has gathered strength in July, reducing the rainfall deficit from over 40% in June to just 12%. This widespread rainfall has boosted cr...