New boss on Mint Street pushes India’s 10-year bond yields marginally higher
The bond markets may worry at least for the time being about the prospects of future rate cuts by the new governor who is popularly known as an inflation warrior.
By Kshitij Anand, ET Online |
NEW DELHI: The benchmark yield rose by 5 basis points on Monday, pushing bond prices lower after the government appointed Dr Urjit Patel to take over as the new governor of the Reserve Bank of India (RBI).
The benchmark yield rose to 7.15 to end 0.80 per cent higher. It closed at 7.10 per cent on Friday.
The bond markets may worry at least for the time being about the prospects of future rate cuts by the new governor who is popularly known as an inflation warrior.
In the past one month, the benchmark yield had dipped about 25 basis points, pushing prices up amid providing sufficient liquidity in the system, said an ET report.
The rally in bond markets was largely on account of aggressive cut in rates by the RBI, but with Dr. Patel at the helm of things, it looks a distant possibility, for now at least.
The benchmark yield rose to 7.15 to end 0.80 per cent higher. It closed at 7.10 per cent on Friday.
The bond markets may worry at least for the time being about the prospects of future rate cuts by the new governor who is popularly known as an inflation warrior.
In the past one month, the benchmark yield had dipped about 25 basis points, pushing prices up amid providing sufficient liquidity in the system, said an ET report.
The rally in bond markets was largely on account of aggressive cut in rates by the RBI, but with Dr. Patel at the helm of things, it looks a distant possibility, for now at least.
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