Rupee falls to new low, bond yields surge

MUMBAI (Reuters) - The rupee slumped to a record low in early trade on Tuesday as the currency continued to bear the brunt of a large current account deficit and fears of tapering of the monetary stimulus by the U.S. Federal Reserve on the rise.

The rupee fell to as much as 63.78 to the dollar, breaching its previous low of 63.30 seen on Monday. It had closed at 63.13/14.

Bond yields surged with the 10-year yield surging 15 basis points to 9.38 percent. (Reporting by Subhadip Sircar; Editing by Prateek Chatterjee)