Inflation Bonds

Euro area 2-year yields set for largest weekly drop since September

Germany's rate-sensitive two-year bond yield, was down 81 basis points (bps) at 2.18% on Friday. It was set to end the week 16 bps lower in its biggest fall since the week of Sept. 23

Inflation in Europe rises to 2.3%, growth concerns dominate ECB discussions

Inflation in the 20 countries that use the euro currency rose in November but that likely won't stop the European Central Bank from cutting interest rates as the prospect of new US tariffs from the incoming Trump administration adds to the gloom over weak growth. The European Union's harmonised index of consumer prices stood up 2.3 per cent in the year to November, up from 2.0 per cent in October, the EU statistics agency Eurostat reported Friday. Energy prices fell 1.9 per cent from a year ago, but that was offset by price increases of 3.9 per cent in the services sector, a broad category including haircuts, medical treatment, hotels and restaurants, and sports and entertainment. Inflation has come down a long way from the peak of 10.6 per cent in October 2022 as the ECB quickly raised rates to cool off price rises. It then started cutting them in June as worries about growth came into sharper focus. High central bank benchmark rates combat inflation by influencing borrowing cost

Indian bonds seen a tad lower, yield holds 6.90% level before debt sale

New Delhi aims to raise 220 billion rupees ($2.63 billion) on Friday through the sale of bonds, which includes 10-year green bonds and a 30-year paper

Retail inflation likely picked up to 5.87% in December on rising food costs

Food prices, which account for about half of the inflation basket, rose in November and remained elevated last month, largely led by vegetable prices and household staples

Invest in longer-duration funds to gain from anticipated rate cuts

But avoid going overboard with exposure as unforeseen events could prevent inflation from softening

Samvat 2079: Bond yields soften, rupee stable despite falling to fresh lows

Domestic bond yields were relatively less volatile compared to the US treasury bond yields, as the market was driven by investors rather than traders

UK gets record demand for debt that acts as protection against inflation

The huge demand for the bond comes as the UK increasingly looks like an outlier in the global fight to quash soaring inflation

Potential US recession signal sets off global rush into Indonesian bonds

With the US and Indonesian central banks seen approaching the end of their respective hiking cycles, inflows looking for higher carry returns are likely to keep increasing in the second quarter

Government's inflation bonds 2.0 pique interest among banks, investors

RBI now targets CPI inflation and is committed to keep retail inflation checked at a maximum of 6%