With Retail Inflation high at 6.85 % RBI Raguram Rajan might not cut Interest rates

With Retail Inflation high at 6.85 % RBI Raguram Rajan might not cut Interest rates

• For past 2 days Indian Share market has moved close to 1000 points on hope that RBI will cut interest rates as the Fiscal Deficit it well under control of 4%
• But the Fact is Rajan never said he will reduce interest rate if the Fisical Deficit is low.All he said was that RBI mail focus is to contain Inflation.
• With Retail Inflation high at 6. 9 % and RBI target of 5 % by March 2017, and 7 Pay Commission kicking in later part of the  year, RBI will not be able to contain inflation if he gives a rate cut.
• With all this in place, RBI will not could not cut any intrest rate for 2016.
• So be cautious in Market and dont get caried away by Blue channel.
• Do your own analysis and if it feels right then invest your hard earned money or do a SIP.