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Below is quote on Monetary Policy by Gurvinder Singh Wasan Senior Fund Manager and Credit Analyst - Fixed Income, JM Financial Asset Management

RBI's policy action was largely on expected lines given the growth-inflation dynamics, past monetary actions and global macro economic scenario. Given GDP is expected to grow at 6.5% in FY24 and inflation projections are revised lower to 5.1%, we expect RBI to remain in pause mode in the visible future.We expect bond markets to remain range bound and would look to buy on dips. On one hand, RBI is expected to keep the bond market anchored through liquidity and other related actions as inflation needs to be brought down towards the 4% goal. However, global macros especially related to reducing run rate of inflation, fall in growth rate of money supply in US, growth slower than expected in China  and softening growth numbers in US especially manufacturing PMI etc. could remain supportive for the bond market going forward."

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