The 10-year govt bond yield surged 7 bps to its highest level in over two months tracking the rise in US Treasury yields
The 10-year benchmark bond yield closed at 7.3769%, after ending at 7.3626% in the previous session
The combination of those higher yields and risk of a wider conflict in the Middle East soured sentiment at the start of a week full of mega-cap earnings and key data
The NSE Nifty50 ended 82 points lower at 19,543; broader indices too finished with significant losses. Private banks, however, bucked the trend on Friday.
The cash-futures basis trade by some measures is as big as it was in 2019 and early 2020, when the onset of the pandemic sparked a rush for the exits that required a bailout by the Fed
Oil prices increased on Tuesday for a fourth consecutive session, raising fears that higher commodity prices will keep price pressures elevated
CLOSING BELL ON AUGUST 23, 2023: The NSE Nifty 50 ended with a gain of 48 points; Shares related to Chandrayaan-3 mission were also in demand on Wednesday.
CLOSING BELL ON AUGUST 22, 2023: BSE MidCap and SmallCap indices rallied up to 0.9 per cent, while the NSE Nifty 50 ended with a notional gain of 3 points at 19,396.
The benchmark yield had dipped earlier in the day, as a fall in oil prices and U.S. yields supported buying sentiment for bonds
The Dow Jones Industrial Average fell 0.86%, to 33,706.15, the S&P 500 lost 1.29%, to 4,228.37, and the Nasdaq Composite dropped about 2%, to 12,705.22
The MSCI world equity index, which tracks shares in 50 countries, was down 1.14%. The pan-European STOXX 600 index was down 0.26%.
Salesforce, Capri Holdings rise after lifting profit outlook; US 10-year Treasury yields spike to two-week high
"Gold is behaving less like an arrow and more like a feather. It's drifting a little this way, and a little that way on the winds that drive markets," independent analyst Ross Norman said.
MSCI's broadest index of Asia-Pacific shares outside Japan dropped 0.76%, with most markets in the red, though a resurgence in property stocks helped greater China markets
Turkey's shock weekend decision to replace its hawkish central bank governor also supported the dollar's safe-haven appeal.
Treasury yields reached their highest since January 2020, continuing their climb after being briefly held back by the Federal Reserve's dovish words
The rupee on Wednesday tumbled to a 14-month low, while bond yields hardened and equities fell on continued pull-out by foreign investors from various asset classes