Repo Rate- BusinessLine Editorial [1] A strong case to change course [2] Most important factor that argues for a policy rate hike at this juncture is the fresh onslaught on the rupee with a renewed barrage of FPI selling in Indian stocks in recent weeks [2] With the return of global inflation fears, bond yields in the developed world have risen sharply [3] US 10 year gilt trades at 25 year high, Japan at a 30 year high [4] Higher yields in these markets usually lead to FPI’s switching on their risk trade-off in emerging markets [ like India ] — Courtesy BusinessLine