Sensex Today | Stock Market Highlights, Wednesday: In the broader markets, the Nifty MidCap 100 fell 0.63 per cent and the Nifty SmallCap 100 rose 0.30 per cent
The RBI raises the repo rate to 5.5% as inflation risks broaden, while keeping its growth outlook firm. Here are the key takeaways from Governor Sanjay Malhotra's statement
Malhotra said financial markets can be irrational in the short run and noted that measures including the REER suggest the rupee may be undervalued
RBI Governor Sanjay Malhotra said the central bank sees no asset-quality concerns for NBFCs despite high liquidity, while bank credit growth is expected to remain strong
VK Vijayakumar said that the pivot in stance, alongside an evolving macroeconomic outlook, strongly signals that two more rate hikes are highly probable in this tightening cycle.
Our base case pencils in the headline CPI inflation to average at 5 per cent in FY27, with risks tilted to the upside.
Going ahead, crude oil prices, food inflation, the rupee and global monetary conditions will be the key variables to watch.
A 25-bps hike today may reduce some near-term policy flexibility, but it also lowers the risk of having to undertake a much sharper adjustment later, said Sujan Hajra, chief economist at Anand Rathi
The more important signal from here will be the RBI's forward guidance, analysts said, and whether this marks the beginning of a broader tightening cycle.
RBI's MPC hiked the repo rate by 25 basis points to 5.5 per cent from 5.25 per cent.
The yield on India's 10-year bonds jumped 5 basis points to 7.27 per cent after the decision and was up 8 bps compared to Tuesday's close of 7.19 per cent, according to data on Bloomberg.
At 10:31 AM on Wednesday, the Nifty Bank, Nifty Private Bank, Nifty PSU Bank and Nifty Financial Services traded up to 1% higher; while, the Nifty Auto and Nifty Realty remained in negative zone.
The Reserve Bank of India's Monetary Policy Committee unanimously hiked the repo rate by 25 basis points to 5.5 per cent from 5.25 per cent.
The benchmark 10-year yield rose six basis points after the RBI raised the repo rate to 5.50 per cent and signalled that future action would be a hike or pause
RBI MPC October 2026: The policy committee raised the repo rate to 5.5% and changed the stance to 'calibrated tightening'
The RBI MPC has raised the repo rate by 25 basis points to 5.5 per cent. Here is a look at the central bank's five previous rate hikes and the inflation backdrop at the time
RBI MPC October 2026: The policy committee raised the repo rate to 5.5% and changed the stance to 'calibrated tightening'
The RBI will allow interoperability among account aggregators and enable bank deposit details in consolidated account statements, alongside a new financial markets committee
The RBI's new calibrated tightening stance signals that further rate hikes remain possible as the central bank responds to inflation and economic risks
RBI MPC October 2026: At its policy meeting, held between October 5 and October 7, the committee changed the stance to 'calibrated tightening'