The document discusses monetary policy in India and its impact on stock markets. It states that markets have been range-bound since August 2009 and expects this pattern to continue, with a near term target of 4900 possible on the Nifty index. It also notes that markets reacted sharply to an unexpected 25 basis point hike in cash reserve ratio in January 2010 and had anticipated a larger 50 basis point hike in April, which actually came in at 25 basis points.