Economy and regulatory updates
India Wholesale Price Index-based inflation rose 2.13% on-year in February 2026, compared with a 1.81% increase in January 2026
India’s unemployment rate eased to 4.9% in February 2026 from 5% in the previous month
India’s infrastructure output grew by 2.3% year-on-year in February 2026, marking a slowdown from the revised 4.7% growth recorded in the previous month.
India’s merchandise trade deficit widened to $27.1 billion in February 2026 from $14 billion last year
Fitch Ratings has raised India's gross domestic product (GDP) growth forecast for current fiscal and the next to 7.5% and 6.7%, respectively, and projected global crude oil price to average $70 a barrel in 2026
The Parliamentary Standing Committee on Commerce has called on the Department for Promotion of Industry and Internal Trade to fast-track the revision of the WPI base year to 2022-23 from 2011-12
Parliament approved the second batch of supplementary demands for grants, allowing the government to spend an additional Rs 2.01 lakh crore in the current fiscal, with the Rajya Sabha returning the Appropriation Bill, 2026, to the Lok Sabha
The Lower House of Parliament has approved the second batch of supplementary demands for grants, allowing the government to spend an additional Rs 2.01 lakh crore in the current fiscal
The government announced the expansion of the Advanced List of Models and Manufacturers scheme to cover solar ingots and wafers
The Union Cabinet has approved significant funding for cotton farmers. Rs 1,719 crore will support the Cotton Corporation of India for the 2023-24 cotton season
The Cabinet has approved the Bharat Audyogik Vikas Yojna (BHAVYA), with an allocation of Rs 33,660 crore to develop 100 plug-and-play industrial parks across the country
The Cabinet approved the construction of a four-lane access-controlled National Highway 927 from Barabanki to Bahraich in Uttar Pradesh at a cost of Rs 6,969 crore
Cabinet has cleared the Small Hydro Power Development scheme with an outlay of Rs 2,585 crore
The Securities and Exchange Board of India (SEBI) has introduced a framework allowing mutual funds to use intraday borrowing to manage temporary liquidity mismatches, effective April 1, 2026
SEBI has proposed easing nomination norms for demat accounts and mutual fund folios to simplify investor onboarding and reduce compliance friction.
Source: MOSPI, RBI
Indian Debt Market Update
The interbank call money rate ended higher at 5.35% on March 20 compared with 5.15% on March 13
Government bond prices fell in the week ended March 20, while yield on the 10-year benchmark 6.48% 2035 paper ended at 6.74% compared with 6.68% on March 13
Bond prices began the week on negative note as elevated Brent crude oil prices intensified inflation and currency concerns in India
However, prices gained later in the week on reports of the Reserve Bank of India (RBI) buying bonds in the secondary market
Source: CRISIL Fixed Income Database, RBI *Weighted Average Yield ^ Data as of 13th Mar 2026 vs 6th Mar 2026 vs 13th Feb 2026 respectively
Source: CRISIL Fixed Income Database; *Weighted Average Yield
Indian Equity Market Updates
Indian equities ended marginally lower this week, as initial gains due to strength in the information technology (IT) stocks and anticipation surrounding the outcome of the US Federal Reserve policy meeting, were offset by renewed geopolitical uncertainty and heightened concerns over rising global oil prices. Furthermore, the US Fed’s decision to maintain its policy rate contributed to the subdued market sentiment
Oil and gas, realty and fast-moving consumer goods (FMGC) sectors fell the most. BSE Oil & Gas, BSE Realty and BSE FMCG Indices fell 3.30%, 1.87% and 1.44%, respectively
The domestic market bought around Rs 5,706 crore worth of equities on March 20 compared with buying of Rs 9,977 crore worth of equities on March 13, 2026.
Foreign institutional investors sold equities worth Rs 5,518.39 crore on March 19, 2026 compared to selling of Rs 7,050 crore on March 12.
Domestic mutual funds were net buyers, buying equities worth Rs 65,834 crore on month to date basis on March 17, 2026.
Source: SEBI, NSE
Source: SEBI, NSE
Global Equity market summary
US stocks declined during the week as volatile oil prices and escalating conflict in the Middle East heightened inflation worries. Equities came under additional pressure after the US Fed kept interest rates unchanged. Despite the overall weakness, gains were seen in the shares of select companies in the AI and travel sectors.
Britain's FTSE declined during the week as the escalating Middle East conflict and volatile oil prices heightened concerns about inflation and future direction of monetary policy.
Japan's Nikkei fell due to the US Fed's hawkish stance, rising crude oil prices and Middle East conflict, which led to concerns about inflation and energy supply disruption. However, gains in some chip and AI-related stocks, on hopes of stable oil prices, limited the fall.
Hong Kong's Hang Seng ended lower amid the Middle East conflict and weak earnings from a major technology conglomerate.
China's Shanghai Composite closed lower due to persistent worries over weakness in real estate companies and rising geopolitical uncertainty.
Source: Websites of respective stock exchanges; *Data as on Mar 19
Global Yield
US Treasury prices rose during the week due to increased haven demand
Bond prices rose further as heightened geopolitical tensions increased safe-haven demand for treasuries. The US Fed’s communication in the recent meeting outcome reinforced expectations of potential rate cuts later in the year, pulling yields lower.
The yield on the 10-year benchmark Treasury bond ended at 4.25% on March 19, 2026, compared to 4.28% on March 13, 2026.
Source: Financial Websites
Commodities and Currency
Crude oil prices fell on the New York Mercantile Exchange (NYMEX) during the week, as vessels resumed transit through a key shipping route, easing concerns over supply, and the International Energy Agency hinted at more strategic reserve releases.
Gold prices ended lower this week due to strength in dollar index.
Silver prices ended lower this week mirroring the trend in gold due to a strong dollar index.
The rupee closed lower against the US dollar this week due to volatile crude oil prices, heightened geopolitical uncertainty and foreign fund outflows, which triggered concerns over India’s growth-inflation dynamics.
*Data as on Mar 19, 2026, Source: Respective commodity exchanges, ibjarates.com
Source: Financial websites
Global Economic
US producer prices index (PPI) climbed 3.4% year-over-year in February 2026 from 2.9% in January 2026 while core PPI jumped by 3.9% vs 3.5%.
US Industrial Production increased 1.4% in February 2026 compared to 2.3% in January 2026 while the Manufacturing Production increased 1.3% following a 2.4% rise.
Eurozone industrial production fell 1.2% in January 2026 compared to a upwardly revised 2.2% in December 2025.
The Eurozone’s annual inflation rate was confirmed at 1.9% in February 2026, up from January’s 16-month low of 1.7% while core inflation was confirmed at 2.4% vs 2.2% in January 2026.
The European Central Bank kept interest rates unchanged at its March 2026 meeting, reaffirming its commitment to stabilizing inflation at 2% in the medium term.
The UK unemployment rate remained unchanged at 5.2% in the three months to January 2026.
The Bank of England unanimously voted to keep the Bank Rate at 3.75% in March 2026, as the conflict in the Middle East has caused a sharp rise in global energy and commodity prices, pushing up household fuel and utility costs and raising business expenses.
UK GDP expanded 0.8% year-on-year in January 2026, compared to a 0.7% rise in December 2025.
The People’s Bank of China (PBoC) maintained its main lending rates at historic lows for the tenth consecutive month in March 2026.
The Bank of Japan left its key short-term rate unchanged at 0.75% at its March 2026 meeting, keeping borrowing costs at their highest since September 1995.
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