 "rbi")
The jubilation over low first-half borrowing was short-lived for the bond market. The 10-year bond yield hit 7.79 per cent in Friday morning trade, a level last seen in February, threatening to undo the entire gains earned since the announcement of light first-half borrowing.
Bond yields, however, recovered sharply to close at 7.66 per cent, marginally higher than its previous close of 7.63 per cent. The recovery was possible because of heightened buying by nationalised banks, likely as an intervention measure. It was also aided by US President Donald Trump expressing his displeasure at high oil prices, according to bond dealers.
The
