Timeline
MPCMAY 22, 2020

Rate Cut (-40 bps)

Off-cycle emergency cut; COVID-19 response

NIFTY 50-vs T-60 baseline
USD / INR+0.27%vs T-60 baseline
INDIA VIX-vs T-60 baseline
10Y G-SEC-vs T-60 baseline
Cross-Asset Reaction Window
Surprise Analysis
Surprise DeviationHistorical volatility metric
-0.0σ

Actual Policycut-40
ConsensusAdjust expected

Macroeconomic Assessment

Dovish shift to stimulate economic activity.

Cross-Asset Reaction Matrix
Asset ClassT−60T+30T+2HT+1D
Nifty 50NIFTY--0.74%-0.74%-
USD / INRUSDINR--0.20%-0.20%+0.27%
India VIXVIX--1.85%-1.85%-
10Y G-SecGSEC-+0.30%+0.30%-