1. India's central bank holds interest rate steady for growth and inflation control. 2. Inflation dipped to 4.31%, the lowest since August 2024, exceeding forecasts. 3. RBI cut repo rate to 6.25% to counter slowdown despite rupee pressures. 4. Growth forecast lowered to 6.4%, down from 8.2% year-on-year. 5. RBI faces a dilemma in stimulating growth without further weakening the rupee.
While India's economic measures may influence global markets, impacts on S&P 500 are indirect. Past instances show such international monetary policy shifts can affect investor sentiment but not always directly move US markets.
Economic policies from major economies like India can sway global investor sentiment, indirectly affecting S&P 500. However, the direct correlation is moderate as the US markets primarily react to domestic data.
The immediate reaction to policy changes can influence investor behavior. However, sustained impacts on S&P 500 depend on broader economic conditions over time.