Tuesday, September 28, 2010

Research desk views-29/09/210

September 10, 2010; Fortnightly round up of key banking and economic indicators

l The growth in the non food credit increased marginally to 19.9% for the week ended Sept. 10, 2010 and deposit mobilization

marginally improved to 14.7%

l As a result the CD ratio moved upwards to 72.1% for the week ended Sept. 10, 2010

l Money supply growth remained unchanged at 15.6% and the money multiplier inched down to 4.86

l Call money rates as on Sept. 27, 2010 have dropped 7 bps from last fortnight to 5.6%

l The spread between call money and reverse repo rates as on Sept. 27, 2010 stands at 60 bps

l Excess liquidity in the system dropped to `34 bn. The repo balances stood at ~ `183 bn. and reverse repo at ~ `15 bn. for the week

ended Sept. 10, 2010

l The spread between the long and short end OIS is trending downwards and stands at 53 bps

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