How does the RBI monetary policy affect Indian indices?

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Every time RBI announces rates, markets move a lot. How do I trade around RBI policy meetings?

#indices

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Wolf Cub

Trader · 15 days ago

RBI rate cuts are generally positive for indices (lower cost of borrowing, more liquidity). Rate hikes are negative. But markets often price in the expected decision beforehand.

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Market Hawk

Trader · 15 days ago

Trade the surprise, not the known. If RBI is expected to hold and they cut, that is a positive surprise → buy. Avoid holding large positions into the announcement.

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How does the RBI monetary policy affect Indian indices?

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