India's currency in circulation dropped for a second consecutive week after the central bank withdrew the country's highest value currency note in May, advising people to deposit those with various banks and hoping to help lender deposits in the process.
Sensex and Nifty traded higher, nearing their all-time high levels after the RBI maintained a status quo on policy rates and stance. The repo rate remains unchanged at 6.5 per cent.
RBI MPC meet has kept the repo rate unchanged for now but with inflation still on a close watch, experts say there isn’t a clear signal that interest rates will start to fall anytime soon
All 40 economists in a Bloomberg survey forecast the Indian central bank will keep the repurchase rate unchanged at 6.50% on Thursday, signaling that inflation could cool further in the months ahead.