RBI to Hold Rates in February Despite US-India Trade Deal, Macro Comfort

• The Reserve Bank of India (RBI) is expected to keep policy rates unchanged at its February 6 meeting, despite a new US-India tariff deal.
• Economists on CNBC-TV18's Citizen Monetary Policy Committee (MPC) believe the trade deal improves India's macro outlook but doesn't warrant an immediate rate cut.
• Sonal Varma of Nomura noted the deal strengthens growth-inflation dynamics, potentially boosting FY27 GDP and improving sentiment and exports.
• Currency stability post-deal enhances liquidity and monetary policy transmission, while benign inflation gives RBI more macro comfort.
• Panelists, including Sajjid Chinoy and Soumya Kanti Ghosh, highlighted global uncertainties and market volatility, advocating a cautious 'wait-and-watch' approach for the RBI.