The MPC's interest rate decision, a host of macroeconomic data announcements, COVID-19 trends and global factors would be the major highlights in the equity market this week and their outcome would be a major driving force going ahead, analysts said.
Inflation remains a key concern and constrains monetary policy from using the space available to act in support of growth, RBI said in its 2020-21 annual report
According to the study, Indias threshold consumer inflation — a level beyond which price rise hurts growth — is 6%. Currently, the flexible inflation target is 4% that can move 2 percentage points either way.