New Delhi, Oct. 7 -- The Reserve Bank of India (RBI) hikes repo rate by 25 basis points on Wednesday, 7 October, following rate hikes by some of the major global central banks, such as the US Federal Reserve, the Bank of Japan, and the European Central Bank.

While a 25 bps hike was largely discounted, what disappointed the market was the central bank's hawkish tone and signals that rates could be raised further from here.

"The MPC unanimously voted to increase the policy repo rate by 25 basis points to 5.50%. The MPC also decided to change the stance to 'calibrated tightening'. It underscored that given the current conditions, rate cuts are off the table in the near term and policy action ahead can only be a rate hike or a pause, depend...