Remedial English Test Series 52

         Remedial English Test Series 52

 Identify  the ONE mistake in each line and make corrections    (1 mark for each correct answer. Total score   ___ )

01 Donald Trump’s surprise win in the U.S. presidential elections has lent the dollar new wings. It has soar  against  the
02 world’s largest economy. The prospect of the Federal Reserve raising interest rates provided an updraught that help
03 the dollar extent  a record appreciating streak against the euro last week and pushed the rupee past 68 to a dollar. In
04 Congressional testimony last week, Fed Chair Janet Yellen signalled that the central bank was close to a decide  to
05 raise rates again. Some economists predict U.S. GDP growth could see appreciable accelerate  in 2017 — with one
06 projection positing even a doubling of the pace by the fourth quarter — if the new administration deliver  on some of
07 its promises, including tax cuts, deregulation and infrastructure spend. In fact, with a Republican majority in both
08 the House of Representatives and the Senate, Mr. Trump could benefit from smoother Congressional back  for policy
09 initiatives to boost economy  activity. U.S. stocks and bonds have also reflected the optimism over the outlook for U.S.
10 growth and prospect  that increased fiscal spending will help reflate the economy, with the S&P 500 Index adding gains
11 for the second strait  week and benchmark bond yields climbing in anticipation of faster inflation. For the rupee,
12 which has slumped 2.3 per cent from its 66.62 a dollar close on November 8, the flight of capital from emerge  market
13 assets has inflicted significance pressure that has been exacerbated by the Centre’s decision to withdraw higher
14 denomination currencies. Foreign institution  investors have sold more than $2.5 billion of Indian equity and debt
15 holdings so far this month, compare  with the about $1.5 billion they offloaded through October. With the
16 demonetisation move infusing a surge of liquidity into the bank  system, domestic interest rates are expected to
17 decline, making the rupee less attract  to investors seeking to benefit from an interest rate arbitrage. And with
18 consumption and broader economic activity predicted to take a hit on account of the short of cash in the wake of
19 the currency move, GDP growth may slow sharp. That in turn could weaken overseas investor appetite for rupee
20 assets. The task before policymakers, and the monetary polisy committee that is set to meet on December 7,
21 a weak before the Federal Open Market Committee’s rate decision, will be to reassure markets
22 and investors that India’s  economics   remains robust. (The Hindu   24 Nov 16).

 KEY TO Remedial English Test Series 52   Note the correct answers below

01 Donald Trump’s surprise win in the U.S. presidential elections has lent the dollar new wings. It has soared against  the
02 world’s largest economy. The prospect of the Federal Reserve raising interest rates provided an updraught that helped
03 the dollar extend a record appreciating streak against the euro last week and pushed the rupee past 68 to a dollar. In
04 Congressional testimony last week, Fed Chair Janet Yellen signalled that the central bank was close to a decision to
05 raise rates again. Some economists predict U.S. GDP growth could see appreciable acceleration in 2017 — with one
06 projection positing even a doubling of the pace by the fourth quarter — if the new administration delivers on some of
07 its promises, including tax cuts, deregulation and infrastructure spending. In fact, with a Republican majority in both
08 the House of Representatives and the Senate, Mr. Trump could benefit from smoother Congressional backing for policy
09 initiatives to boost economic activity. U.S. stocks and bonds have also reflected the optimism over the outlook for U.S.
10 growth and prospects that increased fiscal spending will help reflate  the economy, with the S&P 500 Index adding gains
11 for the second straight week and benchmark bond yields climbing in anticipation of faster inflation. For the rupee,
12 which has slumped 2.3 per cent from its 66.62 a dollar close on November 8, the flight of capital from emerging market
13 assets has inflicted significant pressure that has been exacerbated by the Centre’s decision to withdraw higher
14 denomination currencies. Foreign institutional investors have sold more than $2.5 billion of Indian equity and debt
15 holdings so far this month, compared with the about $1.5 billion they offloaded through October. With the
16 demonetisation move infusing a surge of liquidity into the banking system, domestic interest rates are expected to
17 decline, making the rupee less attractive to investors seeking to benefit from an interest rate arbitrage. And with
18 consumption and broader economic activity predicted to take a hit on account of the shortage of cash in the wake of
19 the currency move, GDP growth may slow sharply. That in turn could weaken overseas investor appetite for rupee
20 assets. The task before policymakers, and the monetary policy committee that is set to meet on December 7,
21 a week before the Federal Open Market Committee’s rate decision, will be to reassure markets
22 and investors that India’s  economy remains robust. (The Hindu   24 Nov 16).