New Delhi, Oct. 2 -- The Reserve Bank of India may have limited justification to raise interest rates as core inflation remains benign and economic growth is subdued, while a rate hike may also do little to address pressure on the rupee from global financial conditions, Nuvama Research said in a report.

The report noted that core inflation is below 5 per cent and super-core inflation is below 3 per cent, while nominal GDP growth is running at around 9 per cent, near the lower end of its historical range. It said the domestic backdrop is significantly different from the previous rate-hike cycles in 2018 and 2022.

The report also noted that wholesale price inflation has risen sharply and has stabilised at around 10 per cent in recent mont...