The 10-year bond yield was at 6.7742 per cent as of 10:10 a.m. IST on Wednesday, compared with its previous close of 6.7597 per cent
US yields surged while the slower pace of rise of Indian yields led to a tighter spread or the interest rate gap between the two countries
The Fed is expected to say that it will be in no rush to make further cuts as inflation improves but remains above its 2 per cent annual target, while the labor market also remains relatively strong
Foreign exchange market participants said that state-owned banks sold dollars on behalf of the RBI at 84.85 per dollar to prevent further depreciation of the exchange rate
Yield spread low despite rise in retail inflation in India
Foreign investors pulled out Rs 21,612 crore (USD 2.56 billion) from the Indian equity market in November, mainly due to the rising US bond yields, strengthening dollar and expectation of a slowdown in the domestic economy. While the sell-off continues, the quantum of net outflow significantly reduced compared to October, when FPIs recorded a massive withdrawal of Rs 94,017 crore (USD 11.2 billion). With the latest pull out, Foreign Portfolio Investors (FPIs) have experienced total net outflow of Rs 15,019 crore in 2024 so far. Looking ahead, the flow of foreign investments into Indian equity markets will hinge on several key factors. These include the policies implemented under Donald Trump's presidency, the prevailing inflation and interest rate environment, and the evolving geopolitical landscape, Himanshu Srivastava, Associate Director Manager Research, Morningstar Investment Research India, said. Additionally, the third-quarter earnings performance of Indian companies and the
Yield on benchmark 10-year government bond settled at 6.81 per cent on Friday
The benchmark bond yield may drop to 6.30 per cent by March end, on strong foreign inflows and rate cuts from the central bank
The benchmark 10-year yield is likely to move between 6.75 per cent and 6.78 per cent on Monday
Bond yields on global investment-grade corporate debt averaged 4.52 per cent as of Tuesday's close, near their lowest level in about two years
The benchmark 10-year yield ended at 6.8637 per cent, compared with its previous close of 6.8605 per cent
The benchmark 10-year yield is likely to move between 6.85 per cent and 6.89 per cent
A sharp rise in yield spread is a bullish signal for Indian equity but it has been overshadowed by the negative cues in the global markets, said analysts
Inflows into shorter tenure bonds likely to be boosted
Yields on 30-year bonds have dropped more than 40 basis points this year to 7.04 per cent on Friday
The benchmark 10-year yield was at 6.9357 per cent as of 10:00 a.m. IST, compared with its previous close of 6.9512 per cent
The benchmark 10-year yield was at 6.9748 per cent as of 10:10 a.m. on Monday, close to the key technical level of 6.98 per cent
U.S. yields declined on Friday after data showed nonfarm payrolls grew by a slightly higher-than-expected 206,000 jobs in June, but the count for April and May was revised lower by 111,000
Debt market witnessed Rs 3,370 crore inflows in two trading sessions following the inclusion of Indian bonds in JP Morgan's index
Foreign banks also stepped up purchases of bonds last week ahead of the inclusion, and is expected to continue this week as well