9 result(s) for “Monetary policy”
Indian equity benchmarks slipped on October 29, 2026, as investors booked profits after a recent rally and assessed monetary policy risks and global market volatility. Financial stocks led declines while domestic data and corporate earnings kept trading cautious.
Minutes from the Reserve Bank of India monetary policy meeting published October 22 show policymakers moved to a calibrated tightening stance and flagged scope for additional rate rises to tame inflation, a shift that could tighten borrowing costs for households and companies ahead of year end.
Minutes released October 21 from the Reserve Bank of India’s October MPC meeting detail growing concern over oil driven price pressures, a shift to a calibrated tightening stance and market repositioning that sent bond yields higher and tightened financial conditions.
The Reserve Bank of India has raised the minimum daily Cash Reserve Ratio maintenance to 99 percent effective from the fortnight beginning October 16, 2026, a move that reduces banks’ intrafortnight flexibility and signals a more active liquidity stance following the October rate hike.
Benchmark indices opened higher on October 12, 2026, after a drop in crude oil and positive Asian cues eased near-term risk sentiment, but continued foreign selling and corporate earnings kept investors cautious.
The Reserve Bank of India raised the repo rate by 25 basis points and signalled a calibrated tightening stance, prompting a spike in bond yields, fresh foreign investor selling and early bank rate adjustments on October 8, 2026.
The Reserve Bank of India on October 7 raised its policy repo rate by 25 basis points to 5.50 percent, ending a nearly four year pause and shifting policy stance to calibrated tightening. The move responds to a stronger growth backdrop and renewed inflationary pressures, and will affect borrowing costs, the rupee and market expectations for further hikes.
With the Reserve Bank of India convening its Monetary Policy Committee from October 5 to 7, Indian equities and bond markets opened the week under pressure. Investors are pricing in a likely 25 basis point repo rate increase, while foreign outflows and higher global oil prices are deepening the selloff.
NITI Aayog member Arvind Virmani reaffirmed a 7 percent GDP forecast for the year on October 4, 2026, but emphasised a plus or minus 1 percent uncertainty range as global trade tensions, oil prices and monetary pressures cloud the outlook.