Mission IBPS Exam : English Quiz (Reading Comprehension)

Dear Readers,
Today we are rendering you quiz on Reading Comprehension which is one of the most crucial and tough portions of English section in banking exams. This passage is not only pivotal for practising and ameliorating your RC skills but also it will accrete your GA ability as well.  for all the upcoming banking exams, IBPS/RRB (PO).



Market regulators and even governments have very few options when financial markets go into the kind of panic-driven free fall as witnessed. The shock waves triggered by an over 9 per cent fall in Chinese stocks hit capital and currency markets worldwide. India was no exception to the global sell-off, with the BSE Sensex shedding over 1,624 points — nearly 6 per cent — and the rupee tumbling at one point to Rs. 66.60 against the U.S. dollar, its lowest level since 2013. The immediate task for the market regulator, the Securities and Exchange Board of India, will be to put in place measures to ensure that there are no major settlement defaults, which can trigger a systemic collapse. Other than that there is little it can, or indeed should do, to prevent the current re-rating of asset prices in the market running its course. On the currency front, Reserve Bank of India Governor Raghuram Rajan has given out the assurance that the central bank has sufficient foreign currency reserves — around $380 billion — to dampen any major volatility of the rupee. However, it can only flatten the trajectory of any fall, not reverse it. Besides, it needs to keep the powder dry to tackle any further devaluation of the yuan, which China might be forced to do if growth continues to be slow. After all, current global sell-off was prompted by poor industrial output numbers, only confirming the fears of global investors that China’s ‘managed slowdown’ was proving less manageable than  it had let on.
For India, the Chinese collapse might actually provide an opportunity. As Dr. Rajan has pointed out, India has a low current account deficit (CAD), the fiscal deficit is manageable, inflation is moderating and short-term foreign currency liabilities are low. Despite a downward revision by global rating agencies in the growth forecast, growth is still fairly robust compared to other major economies. The fall of the rupee has been largely offset by a slump in crude prices, which should further ease pressure on the CAD. A cheaper rupee will also help revive exports. Progress on key reform measures such as the GST and Land Bills, and  a step-up in infrastructure spending, could boost industry. A strategically timed interest rate cut can help revive consumer and investor sentiment. For that to happen, the Centre needs to demonstrate greater political skills in pushing its reforms agenda, and speedier reflexes than it has shown so far. A case in point is the delayed PSU disinvestment programme. Present offer for sale of 10 per cent of shares in Indian Oil Corporation barely scraped through amidst the bloodbath. Future asset sales will have to be in a markedly  more bearish market, leading to  lower realisations.

Source – The Hindu (Delhi Edition)
Q.1 What kind of assurance RBI Governor, Raghuram Rajan, has given out to dampen any major volatility of the rupee?
1) RBI can reverse the trajectory of any fall in rupee.
2) The RBI has sufficient foreign currency reserves— around $380 billion
3) RBI can prevent the current re-rating of asset prices in the market.
4) India has low fiscal deficit and short-term foreign currency liabilities are high.
5) RBI absolutely can tackle any further devaluation of Indian currency 
Q.2 Which of the following statements is/ are correct according to the passage?
A.) The rupee tumbling at one point to Rs. 66.60 against the U.S. dollar, at its highest level since 2014.
B.) RBI governor assured that the central bank can dampen any major volatility of rupee.
C.) India has low Current account deficit (CAD) and short- term foreign currency liabilities are moderate.
D.) Progress on key reform measures such as the GST and Land Bills could boost industry. 
E.) Growth is still fairly robust compared to other minor economies as forecasted by global rating agencies 
1) Only D
2) Both A and C
3) Only B
4) Both B and D
5) Both D and E
Q.3 Which of the following statements is/ are false according to passage?
A.) The shock waves triggered by an over 9 per cent fall in Indian stocks hit capital and currency markets worldwide.
B.) The fall of rupee has been largely offset by a slump in crude prices.
C.) Centre needs to demonstrate greater political skills in pushing its reforms agenda, and speedier reflexes than it has shown so far.
1) Only C
2) Both A and B
3) Only A
4) Both B and C
5) All A, B and C
Q. 4 What should be immediate task taken by market regulator when markets go into the kind of panic-driven free fall?
1) To put in place measures to ensure that there are no major settlements defaults, which can trigger a systemic collapse.
2) To demonstrate greater political skills in pushing centre’s reforms agenda and speedier reflexes than it has shown far.
3) Asset sales should be more bearish leading to lower realizations.
4) Both B and C
5) All A, B and C
Q. 5 According to the passage, what would be the title of it?
1) The crash of the markets
2) Global economic slump
3) Devaluation of Indian Currency
4) Economic liberalisation in India
5) The globalization of the markets
Directions Q.6-8; Choose the word which is most SIMILAR in meaning of the word printed in bold as used in the passage.
Q. 6. Prompted
1) Discourage
2) Unwilling
3) Cued
4) Speculation
5) Remember
Q. 7. Dampen
1) Weaken
2) Moist
3) Heighten
4) Enthusiasm
5) Chill
Q. 8. Demonstrate
1) Authenticate
2) Exhibit
3) Circumvent
4) Abate
5) Straightforward
Directions Q. (9-10); Choose the word which is most OPPOSITE in meaning of the word printed in bold as used in the passage.
9) Reflexes
1) Reciprocation
2) Aftermath
3) Commencement
4) Automatic
5) Response
10) Collapse
1) Creation
2) Crash
3) Disorganization
4) Sustain
5) Effective

Answers..
1. 2
2. 4
3. 3
4. 1
5. 1
6. 3
7. 1
8. 2
9. 3
10. 1