India’s 10-year yield posts biggest weekly jump in 4 months on hawkish RBI tone

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Key Points

The 10-year benchmark 7.26% 2033 bond yield ended at 7.0356%, highest since May 10 and after closing at 7.0224% in the previous session...

Indian government bond yields ended higher on Friday after the debt auction added to supply, while the benchmark yield posted its biggest weekly jump after the Reserve Bank of Indias (RBI) monetary policy guidance on inflation hurt sentiment...

It rose five basis points this week, the biggest such move since the week ended February 10.New Delhi raised 390 billion rupees ($4.73 billion) through the sale of bonds on Friday, with the cutoff for the longer-duration paper higher-than-expected...

Abating of unusual demand and higher supplies in the coming months will keep the yields in tight range, said said VRC Reddy, treasury head of Karur Vysya Bank.He said he does not expect the RBI to cut rates anytime soon due to resilient growth and moderation in inflation.On.

Overnight indexed swap rates also jumped, as traders pushed back the possibility of rate cuts to 2024.Focus is now on inflation data in India and U.S. due next week, followed by the crucial Federal Reserve policy decision..

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