New Delhi, Oct. 13 -- Persistent food inflation and elevated crude oil prices are likely to determine the extent of further interest rate hikes by the Reserve Bank of India (RBI), with the monetary tightening cycle expected to remain shallow at 50-75 basis points, according to a research report by domestic brokerage firm JM Financial.

In its latest research report, the brokerage said timely supply-side interventions would be crucial to prevent food price pressures from spreading across the economy, particularly as inflation is expected to rise further in the October-December quarter of the current financial year.

"At this juncture, we continue to expect a shallow rate hike cycle (50-75bps)," JM Financial said, adding that the trajectory...