Rupee 'Bull' Only for First Half of 2019, Oxford Economics Says

The video discusses the potential for investing in the Indian government debt market due to expectations of a rate cut by the RBI under its new governor. It highlights concerns about fiscal policy and overspending as elections approach, with Moody's expressing caution. The impact of a potentially weaker BJP government on economic reforms is considered, along with the implications for the rupee, which may be influenced by oil prices and election outcomes.

What is the main reason for the potential rate cut by the RBI under the new governor?

• Dovish stance of the new governor

• Increased foreign investments

• Strong economic growth

• High inflation rates

What is a major concern as the elections approach in India?

• Increase in foreign investments

• Fiscal consolidation issues

• Decrease in oil prices

• Strengthening of the rupee

What has been a point of contention between the RBI and the government?

• Inflation targets

• Foreign exchange rates

• Capital reserves

• Interest rates

What is the biggest risk for the rupee in 2019 according to the transcript?

• Oil prices

• Political stability

• High inflation

• Strong economic growth

How is the Indian rupee expected to perform in the first half of 2019?

• Weaken significantly

• Depreciate due to high inflation

• Remain stable

• Strengthen due to low oil prices