Bond, currency markets witness high volatility in FY20 over Covid-19 fear

Bond and currency markets witnessed a highly volatile year, as Covid-19 fear brought the markets to a near halt.
 

While the rupee hit its lifetime low of about 76.30 a dollar, the 10-year bond yields fell to 6 per cent, as Covid-19 led to an unprecedented slide in financial assets worldwide. As yields fall, prices of bonds rise and the vice versa.
 

The rupee ended the 2019-20 fiscal year at Rs 75.6 dollar, and the 10-year yields closed at 6.1 per cent. At the start of the year, rupee and bond yields were at 69.2 a dollar and 7.4 per