RBI SLASHES REPO RATE, CRR BY 25 BPS; India Inc Happy About RBI Rate Cuts; Sensex Falls 112 Pts, Ignores Rate Cut By RBI

Tuesday, Jan 29, 2013 RBI SLASHES REPO RATE, CRR BY 25 BASIS POINTS   RBI as expected cut its repo rate by 25 bps to 7.75%, its first in nine months. It surprised everyone by cutting Cash Reserve Ratio by 25 bps to 4% which will infuse Rs 18,000 crore into the banking system from February 9. RBI also lowered its inflation forecast for the current fiscal to 6.8% from 7.5%, but also admitted that inflation remains one of the key threats to its macroeconomic management going ahead as supply side constraints remain even after demand pressures have begun to ease. (Click On Video Icon Above For RBI Governor D Subbarao's Speech) read more   LEAD STORIES INDIA INC HAPPY ABOUT RBI RATE CUTS  Reeling under slowdown, India Inc hailed the RBI's move to reduce Repo and CRR rate ,saying it will spur growth and ease tight liquidity condition. read more SENSEX FALLS 112 PTS; IGNORES RATE CUT BY RBI  Sensex ended at 19,990,while Nifty closed at 6,049 down 24.90 pts. Decline was led by rate sensitive counters like HDFC Bank which fell 2.7%. read more TOP STORIES • IDBI Bank cuts lending, deposit rates by 25 bps   • Re hits 1-wk high post RBI policy; up 15 paise at 53.76   • India committed to reforms: FM   • TDSAT stays 1-time spectrum fee demand on Voda   • Gold rebounds from 2-wk low on U.S. stimulus outlook   • Ashok Leyland continues 15% wage cut, 5-day week   • Philips exits shrinking home entertainment business   • IVRCL shares slide; company to sell assets   • Glenmark net jumps five fold to Rs 212 cr   • Sterlite cons Q net up 30% at Rs 1,191.41 cr   • Crompton Greaves posts Rs 189 cr loss on restructuring   • ZEE launches 24 hr network in Canada   • Crisis in Karnataka? 13 rebel BJP MLAs resigns   • Telangana Cong MPs defers resignation decision   • Justice Verma report vanishes from home ministry site   • I am ready to go to jail, says Ashis Nandy   • Bernanke seen buying $1.14 trn in assets in 2014   • BlackBerry 10 smartphone to be launched tomorrow   • Man Utd world's 1st team to top $3 bn in value: Forbes   • WhatsApp messaging breached privacy laws   more stories TOP VIDEOS It Is Incorrect To Believe Repo Cut Helps Banks To Cut Lending Rates: Montek Singh Ahluwalia, Deputy Chairman, Planning Commission   Very Strong Response To Axis Bank QIP: Manish Chokhani, MD & CEO, Axis Capital   25 Basis Points Cut Not A Major Trigger; Nifty Would Touch 6,100-6,300 By Feb Or Latest By Early March: Vibhav Kapoor, IL&FS   AT A GLANCE BSE 19990.9 -112.45 NSE 6049.9 -24.9 TURNOVER Rs. 333,609 cr BSE CASH Rs. 2,525 cr NSE CASH Rs. 14,820 cr NSE F&O Rs. 259,669 cr BULLION GOLD 30289 -49 SILVER 57884 +122 CRUDE NYMEX 97.2 +0.76 BRENT 113.29 -0.19 FOREX $ / Re 53.76 -0.15 £ / Re 84.392 -0.42 € / Re 72.237 -0.47 EVENTS TO WATCH 28-31 January 5th International Packaging Exhibition Organised By Indian Institute Of Packaging, Mumbai January 29-30 2013 FOMC Meet 1-3 February 5th Edition Of India Art Fair, New Delhi 4-5 February Global Steel 2013, Taj Palace , New Delhi 10 February 2013 Grammy Awards, Staples Centre, Los Angeles

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"I assured them (Foreign Investors) that the polls are 15 months away and that the Budget that will be presented in February will be a responsible Budget, that we will implement many of the decisions and changes in the run-up to the polls." P Chidambaram Finance Minister "India's economic growth is stalled because government policies are framed in isolation and ministries are not working in concert. One ministry does something but the benefits of what they have done won't trickle down because other ministry has not done what it is supposed to do." Kiran Mazumdar Shaw Chairman & MD, Biocon (Over summons from Rajasthan police) "If at 75, I am tried under the Atrocities Act and convicted then I'll go to jail, I'll not contest it because I have worked for Dalits and adivasis for 45 years and I am not going to take this insult. I will go to jail." Ashis Nandy Sociologist