Stocks in Indian dove sharply Friday, breaking through the psychologically important 15,000 level, after investors reacted negatively to government data that showed inflation soared to a 13-year high.
India's wholesale price index (WPI) rose 11.05% for the week ending on June 7, vs. 8.75% the previous week. The WPI reading was well above the target that most analysts had expected, fueling further speculation that the Reserve Bank of India (RBI) will hike interest rates and enact a strong rupee policy to fight skyrocketing inflation.
"Given the current rate of inflation and the full impact of the fuel-price hike, it would be dangerous for the RBI to let the local currency depreciate further as it could exacerbate pressures on inflation," said HDFC Bank's chief economist Abheek Barua. ...
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| Dow Jones | S&P 500 | NASDAQ | 10-Year Note | |
|---|---|---|---|---|
| 10,452.68 | 1,109.24 | 2,185.03 | 33.23 |
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UP
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UP
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UP
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