RBI Monetary Policy Reaction: Sandeep Yadav, Head - Fixed Income, DSP MF

5 Apr 2024 , 01:23 PM

The monetary policy was quite uneventful, as expected. RBI maintained the status quo in rates, as well as its tone. While the inflation and growth projections did change, the difference was not meaningful.

In such a scenario, we believe that the Indian bonds markets will be tracking global markets for a while. Thus the US treasury yields and oil should remain near term drivers.

For the longer term, we expect the favorable demand supply dynamics to bring yields lower.