Two Sharp with ET: Trump's feud with Musk a warning bell for markets, RBI slashes Repo rate to 5.5%
In today's episode of Two Sharp with ET, Nisha Poddar decodes the once bromance, now bitter dynamic between US President Donald Trump and billionaire Elon Musk, sending shivers of market volatility as government subsidies and projects lie on a thin thread of how the leaders address the situation. Musk last week received a warm farewell from the White House, but went all-out against the 'Big Beautiful' tax-spending bill of the Republicans. Trump said pulling EV subsidies make Musk 'go crazy,' and warned of cancelling relief. But Musk took it up a notch, threatening to decommission SpaceX's Dragon. Who will bite first in this battle of the feudal lords?The Reserve Bank of India cut the repo rate to 5.5% in a bold move to boost economic growth. While the 50 bps cut brings relief to borrowers with lower EMIs, it spells trouble for savers as banks slash fixed deposit and savings account interest rates. According to SBI Research, FD rates have dropped by 30–70 bps since February 2025, and savings rates have hit a floor of 2.70%. What does this mean for your money? Watch now for a quick breakdown.
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NDTV
34 minutes ago
- NDTV
RBI Cuts Repo Rate To 5.50%: What This Means
Mumbai: The Reserve Bank of India (RBI) announced a 50 basis-point repo rate cut to 5.50 per cent this week - from the earlier 6 per cent. RBI Governor Sanjay Malhotra declared the higher-than-expected repo rate cut after the RBI MPC meeting. This is the third consecutive rate reduction since February. The repo rate cut means the loan interest must also fall if it's repo-linked. The repo rate is the interest rate at which the RBI lends money to commercial banks. A reduction in this rate makes borrowing cheaper for banks, which in turn allows them to offer loans to customers at lower interest rates. This directly impacts borrowers, especially those with home loans linked to repo-based lending rates (RBLR). An X user and an expert, Vivek Khatri, explained the implications of the repo rate cut and what to do about it. According to Mr Khatri, the repo rate cut to 5.50 per cent means that if a person has a Rs 50 lakh loan, they can save Rs 1,569 per month, Rs 18,828 per year, and Rs 2.6 lakh in loan tenure. However, the twist is that there are only 90 days to claim it. "Your bank won't remind you. Most people will miss it and lose lakhs. Don't be one of them," he said. He also noted the list of steps to take to make sure the loan interest is repo-linked. Step 1: Ask the question Ask the bank if the loan is linked to the repo rate or the Marginal Cost of Funds based Lending Rate (MCLR). If the loan is on MCLR or fixed rate, the rate drop can take up to six to 12 months. In this case, the bank has full control with no fixed reset rule, Mr Khatri said. "If the answer is repo-linked, then proceed. If MCLR, ask if it can be switched to repo-linked and what are the charges," he said. Step 2: Find the reset date According to Mr Khatri, the repo-linked loans reset every three months, but not instantly after the RBI policy. In case of missing the reset date, file a complaint online on (Select Bank - Loan/EMI - Interest Rate Issue) Step: Calculate EMI drop The expert urged people to calculate the EMI drop using the RBI's EMI calculator. When will RBI cut repo rate again? Mr Khatri, in his post, said that the latest repo rate cut took place because of the below target 4.5 per cent inflation, GDP of 6.7 per cent in Q1 FY26, and a healthy liquidity. If the inflation stays low, the next repo rate cut may take place in August, he said.
Time of India
an hour ago
- Time of India
Meet Scott Bessent - the gay banker who beat up Elon Musk
The White House witnessed two rare phenomenon this year- an openly gay Republican taking charge of the US treasury department and that same person beating up the richest man Elon Musk . Moreover, the brawl between Scott Bessent and Musk eventually contributed to the latter's messy break-up with Donald Trump. The confrontation unfolded in the West Wing following a contentious Oval Office meeting, where both men lobbied Trump over who should lead the IRS. After the meeting, Bessent called Musk a 'total fraud,' accusing him of failing to deliver on promised spending cuts. In response, Musk allegedly delivered a forceful shoulder strike to Bessent's ribcage 'like a rugby player,' triggering a brief brawl that bystanders had to break up, as narrated by MAGA activist Steve Bannon. Trump, upon learning of the incident, reportedly said it was 'too much.' The scuffle ended with Musk being escorted out of the West Wing. Who is Scott Bessent? Scott Bessent is the first openly gay Treasury Secretary and the first openly LGBTQ Senate-confirmed Cabinet member in a Republican administration. A Yale graduate, he built a distinguished career in finance with roles at Brown Brothers Harriman, the Olayan Group, and Kynikos Associates before entering public service. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Giao dịch vàng CFDs với mức chênh lệch giá thấp nhất IC Markets Đăng ký Undo He has been a long-time advocate, supporter and mentor of financial literacy and education programs. He has endorsed key pillars of Trump's economic agenda, including business deregulation, tax cuts, and tariffs targeting major US trading partners. In announcing his nomination on November 22, Trump praised Bessent as 'a strong advocate of the America First Agenda.' However, Bessent has faced some skepticism from conservatives. When Trump first considered him for the role, it sparked criticism from Elon Musk, the billionaire tapped to co-lead the newly established Department of Government Efficiency. 'Bessent is a business-as-usual choice,' Musk had said, adding, 'Business-as-usual is driving America bankrupt, so we need change one way or another.'
Time of India
2 hours ago
- Time of India
'The America Party': Conservative activist Scott Presler warns Musk; seeks united Republican front
Scott Presler (Image credits: X @ScottPresler) Conservative activist Scott Presler made a public appeal to Elon Musk on Saturday via X, urging the billionaire to drop any plans for a third party and instead throw his support behind a populist, pro-Trump Republican movement. In a post on X, Musk said that a new party, The America Party, is needed to represent 'the 80% in the middle,' citing overwhelming support from a poll he conducted asking whether it was time to launch a new political force. This comes in the wake of his public feud with US President Donald Trump . Presler expressed gratitude to Musk for his work on the social media platform and in states like Pennsylvania, but warned that launching a new political party would ultimately benefit Democrats. — ScottPresler (@ScottPresler) Creating another party, especially one that harkens love for America — will only take votes away from Republicans,' Presler wrote. 'This will lead to democrat majorities in the House, Senate, & White House. He noted the challenges faced by long-established third parties like the Libertarians and Greens in gaining full ballot access, despite years of organising. Even with a lot of funding, it takes time & several elections to even have a seat at the table.' he said. Instead, Presler advocated for building a 'populist Republican Party centered on an America first agenda,' pledging to support efforts to primary and defeat GOP incumbents who resist codifying Trump's policies. He concluded the message by saying he had sent Musk his phone number via direct message, adding, "Help us." Under which listed several conservative electoral reforms he believes Musk could help champion, including removing inactive voters from voter rolls, restoring in-person voting in Oregon, closing primaries to prevent Democrats from influencing GOP nominations and more. On Friday, Presler visited the greater Harrisburg area for the Pennsylvania Republican Party's annual summer meeting, where he led a training session on strengthening the GOP's voter registration efforts in the state. He emphasised the need to boost turnout for this year's statewide judicial races. Presler, founder of Early Vote Action, relocated to Beaver County ahead of the 2024 election to help register Republican voters. His efforts have been widely credited with contributing to Donald Trump's victory in Pennsylvania by over 120,000 votes last November.
