The RBI has proved to be party spoiler once again. They have left all ratios unchanged in their latest review on 18th June 2012. This would be unnerving the govt as Pranab Da had just been saying that the rates hopefully brought down.
The markets tanked and Nifty closed at 5064 losing 74 points on the Monday. I , however , think that the rates may have been reduced but the potential to do that remains and would be done next time. The Greece problem seems to be under control with the pro-bailout combination coming strong in election on Sunday last.
The BRICS have committed $75 billion to IMF for taking care of world’s trouble spot i e the Eurozone. This is a welcome development and now the immediate threat of big financial upheaval has been put off , it seems.