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RBI set to decide on Oct. 7, with a 25 bps hike in focus
INVasset PMS says a 25 bps move to 5.50% is already priced in, as CPI acceleration and higher core inflation underpin expectations for tighter policy.
The Reserve Bank of India is scheduled to announce its policy decision on Wednesday, 7 October, with market participants watching for a potential 25 basis point increase in the repo rate, according to LiveMint Markets.
LiveMint Markets, citing INVasset PMS business head Harshal Dasani, said a 25 bps hike to 5.50% is no longer surprising because expectations already reflect a significant probability of such a move.
The story also notes that while rate hikes are often viewed as negative for rate sensitive sectors such as real estate, automobiles, and leveraged NBFCs, analysts believe some parts of the market could benefit from tighter monetary policy.
LiveMint Markets added that Equirus Securities expects a similar 25 bps increase, pointing to inflation data that include CPI rising to 4.82% in August 2026 from 4.45% in July, and core inflation reaching 4.16%.