The Repo Rate Hike: Inflation Gave the Cover, the Rupee Gave the Reason

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SumanSpeaks Independent Capital Markets & Geopolitical Intelligence RBI Policy Decoded The Repo Rate Hike: Inflation Gave the Cover, the Rupee Gave the Reason The RBI raised the repo rate by 25 basis points to 5.50 percent on 7 October 2026. With the rupee at ₹96.78 to the dollar, the Fed at 3.75–4.00 percent and bank credit growing near 18 percent, the fuller story is bigger than August CPI of 4.8 percent. The Reserve Bank of India raised the repo rate by 25 basis points to 5.50 percent on 7 October 2026. It is the first hike since February 2023, and the stance has moved from neutral to calibrated tightening. The rate decision was unanimous. The Governor cited inflation. The Monetary Policy Committee said the inflation outlook is no longer as comfortable as it was last year, and near-term rate cuts were taken off the table. That is the official story, and it is not wrong. But it is incomplete. Look at what surrounds the decision: a rupee near its record...
YELLOW JOURNALISM??!!
[SEE HOW ECONOMIC TIMES PRESENTS DISTORTED NEWS: This "Paid News" media house comes up with a heading: "Facebook post row: Maharashtra to take strict action against guilty cops"-----So, they are already, pronouncing the cops to be guilty. While let us examine what the government actually said:
"The report will be forwarded by the DGP to the government today. I will discuss the report with Chief Minister Prithviraj Chavan and strict action will be taken against the officers if found guilty," Patil told reporters.
So, the phrase, "....if found Guilty", becomes "Maharashtra to take strict action against the guilty cops". Huh!! This is ur media guys.......be careful, before you start believing t
hem totally..........!!]
The two girls who posted inflammatory messages on Facebook
MUMBAI: Promising that Maharashtra Government will act on the recommendation of the inquiry report on the arrest of two girls for posting Facebook comments against the shutdown for Bal Thackeray's funeral, Home Minister R R Patil today said "strict" action will be taken against cops, if found guilty.
"The report will be forwarded by the DGP to the government today. I will discuss the report with Chief Minister Prithviraj Chavan and strict action will be taken against the officers if found guilty," Patil told reporters.
He said the government has taken the incident very seriously.
Shaheen Dadha and Renu Srinivasan, both aged 21, from Palghar were arrested on Monday after Dadha posted a Facebook status lamenting the Mumbai shutdown for Thackeray's funeral on Sunday and Renu 'liked' it. The girls were later released on bail.
They were arrested under IPC's sections 295 (A) (deliberate and malicious acts, intended to outrage religious feelings or any class by insulting its religion or religious beliefs) and 505(2) IPC (statements creating or promoting enmity, hatred or ill-will between classes) and the IT ACT.
Following an outrage over the girls' arrest, the state government instituted an inquiry headed by Inspector General (Konkan Range) Sukhvindar Singh, who submitted the report.
The enquiry report on the arrests has indicted the policemen involved in initiating action against the girls and observed that the arrests could have been avoided,a police official said on condition of anonymity.
The confidential report submitted to the DGP office has also recommended departmental action against the erring cops, the official said.
"The report filed by Inspector General (Konkan Range) Sukhvindar Singh also mentions that sections applied in the case were not justified," the official said, adding police would seek advice from the government on dropping of the charges against the girls.

Courtesy: Economic Times

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