India's Surprise Rate cut is First in 3 Years

India's central bank cut its key interest rate by a bigger-than-expected half percentage point Tuesday, the first cut in three years, and warned that stalled reforms are diminishing the growth potential of Asia's third-biggest economy.
The Reserve Bank of India cut its short term lending rate -- the repo rate -- to 8.0 percent from 8.5 percent. Many economists had expected a quarter point cut.
The bank said it decided to cut the rate because economic growth has slowed to below what it believes...