Expert View, June 12 -- As the Indian stock market witnessed a fresh leg-up from the RBI's policy booster, Ankit Mandholia, Head Equity and Derivatives and Wealth Management, Motilal Oswal Financial Services, decodes the broader impact of the central bank's action on the economy and markets. He also warns of remaining cautious and selective following a sharp rally in defence and railway stocks. Here are edited excerpts from his interaction with Mint.

The RBI surprised markets with an aggressive monetary policy move. They slashed the repo rate by 50 basis points, bringing it down to 5.50%. They also announced a staggered 100 basis points reduction in Cash Reserve Ratio (CRR) to 3%, which will inject about Rs.2.5 lakh crore into the bankin...