The investment bank said easing inflation expectations, lower oil prices and reduced fiscal risks have improved the outlook for India's long-dated government securities, particularly 30-year bonds
Overseas investors have stepped up purchases of Indian govt bonds after Centre scrapped taxes on debt investments and relaxed ownership limits, improving market's appeal and supporting capital inflows
As per report, Indian economy is entering phase that will require significantly higher levels of long-term capital, but existing debt market is not capable of efficiently meeting those financing needs
Premium rose steadily after HDFC secured tightest-ever spread for an Indian lender
Benchmark 6.94 per cent 2036 yield seen at 6.85-6.90 per cent after US rate-hike signals lift Treasury yields
The important question is whether or not there will there be an about turn in the flow of funds in the debt segment? This is something which will be tested in the coming months.
It is the behaviour of a central bank preparing for a period of external stress, said Sujan Hajra, chief economist and executive director, Anand Rathi Group
FIIs are subjected to a 12.5 per cent LTCG on listed shares and bonds held for over 12-months, and a 20 per cent withholding tax on interest from government bonds
Axis MF advises bond investors to gradually add Duration as RBI may avoid aggressive rate hikes despite oil risks and inflation concerns
Since the start of the West Asia crisis, 10Y sovereign yields have risen by more than 50 bps across several advanced and emerging markets, including Japan, UK, US, Canada, Italy, Spain and South Korea
The upswing in the yield curve largely reflects worsening expectations around fiscal and inflation outcomes, an unfortunate fallout of the West Asia crisis for India's macros.
Despite the strong macro headwinds, the stock market has been reasonably stable, supported mainly by domestic investment. Since the market valuations are fair now, a sharp correction appears unlikely.
The move underscores the RBI's push to deepen liquidity in sovereign debt, a priority that Governor Sanjay Malhotra highlighted this month
Radhakrishnan said a persistent supply shock accompanied by a weaker currency can negatively impact inflation and fiscal direction, given the likelihood of higher subsidy requirements
CCIL's proposed platform aims to shift OTC bond forward trades to central clearing, enhancing transparency, risk management, and participation in a Rs 4 trillion market
The 10-year benchmark yield rose as much 4 basis points to 7 per cent after the Reserve Bank of India announced plans to withdraw liquidity of up to ₹2 trillion ($21.6 billion)
The non-banking finance company will issue bonds with maturities of two, three, five and 10 years
The RBI has announced Rs 1 trillion in OMO purchases to cushion tightening from advance tax outflows, even as broader pressures on durable liquidity persist due to forex interventions
To facilitate retail participation in G-Secs, RBI came out in November 2021 with a scheme for direct retail participation in G-Secs through its own depository system and the NDS-OM trading platform
The 10-year benchmark yield rose to 6.69 per cent after the MPC held rates steady and the RBI refrained from announcing fresh OMOs, despite market expectations