India's 10-year bond falls for 10th week in record slump
Benchmarks Nifty22,600.00-87.66FEATURED FUNDS★★★★★UTI Aggressive Hybrid Fund Regular Plan-Growth5Y Return8.69 % Invest NowFEATURED FUNDS★★★★★Motilal Oswal Midcap Fund Direct-Growth5Y Return18.25 % Invest NowEnter search…
Indian government bonds have experienced their worst decline in thirty years, falling consecutively for ten weeks. Rising crude oil prices and a hawkish central bank stance have impacted the market negatively. The benchmark repo rate was recently raised to 5.5%, with further increases expected. The 2036 bond yield rose to 7.4740%, indicating a broader trend of increasing yields. These developments may significantly affect India's import bill and inflation outlook.
Indian government bonds fell for a 10th straight week on Friday, their worst falling streak in three decades, as elevated crude prices and bets of a hawkish central bank battered the market.India's central bank earlier this month raised the benchmark repo rate to 5.5% and shifted its policy stance to "calibrated tightening," signalling it may be prepared to tighten policy rates further if price pressures become more entrenched.
The minutes of the meeting and the wider macroeconomic backdrop means that the policy rate will touch 6% by February, ICICI Securities Primary Dealership said in a note.
Bonds Corner Powered By India's 10-year bond falls for 10th week in record slump
Indian government bonds have experienced their worst decline in thirty years, falling consecutively for ten weeks. Rising crude oil prices and a hawkish central bank stance have impacted the market negatively. The benchmark repo rate was recently raised to 5.5%, with further increases expected. The 2036 bond yield rose to 7.4740%, indicating a broader trend of increasing yields. These developments may significantly affect India's import bill and inflation outlook.
Indian bonds flattish as oil spike offset by falling Treasury yieldsYes Bank AT1 coupon due, bondholders seek claritySun Pharma falls short of bond fundraising target amid rising yieldsIndian bonds tumble on oil surge, RBI rate hike fears Browse all Bonds News with"While a 25 bps hike in December is a done deal, a bigger 50 bps hike could make sense tactically depending on incoming data and global developments."
On Friday, the benchmark 6.94% 2036 bond ended at 7.4740%, against 7.4596% in the previous session. The yield rose 9 basis points this week, after surging 62 bps in the previous nine weeks, the steepest rise since 1998. Yields move inversely to prices.
Live Events
The benchmark Brent crude was hovering around $115 a barrel, its highest in nearly six months, as rising geopolitical tensions heightened fears of further disruption to global energy supplies.
India is substantially exposed to a sustained rise in crude prices because it imports close to 90% of its oil requirements.
Higher oil costs widen the country's import bill, impact the currency and inflation outlook and weaken public finances.
RATES
India's overnight indexed swap rates stayed largely unchanged through the week, with most of the negatives already priced in.
The 1-year OIS rate ended at 6.58%, while the 2-year rate closed at 6.65% and the liquid 5-year rate settled at 6.8150%.
Add as a Reliable and Trusted News Source Add Now!
(You can now subscribe to our ETMarkets WhatsApp channel)
Read More News onIndia bondscentral bank repo rateBrent crude pricesbond yieldIndian government bonds
(What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)
Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price
...moreless(You can now subscribe to our ETMarkets WhatsApp channel)
Read More News onIndia bondscentral bank repo rateBrent crude pricesbond yieldIndian government bonds
(What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .)
Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price
...morelessPrime ExclusivesInvestment IdeasStock Report PlusePaperWealth EditionKYB and KYC: Business behind the wealth creator called “Divi’s Lab” – Part 1
The global business of promising more
One company, 2 words. Bond yield and CDS: Will they decide the fate of global markets?
Business of Odd Things: Inside an industry that farms fish that nobody is meant to eat
War's second-order effects are becoming visible in critical sectors
US mid-term elections – Part 2: What does it mean for Trump to lose control of Congress?
- 1
- 2
- 3
& personalised newslettersLogin NowUnlimited AccessStarting @ Rs120/monthGet access to exclusive stories, expert opinions &
in-depth stock reportsSubscribe NowET
Unlock Access to All Exclusives with ETPrime FREE TRIAL
15 Days Free: Unlock All ETPrime Exclusives, Market Tools & ePapers
Trial offer expiring in00 : 05 : 00
I'd rather pay ₹2599 nowUh-oh! This is an exclusive story available for selected readers only.
Worry not. You’re just a step away.
Prime Account Detected!
It seems like you're already an ETPrime member with
Login using your ET Prime credentials to enjoy all member benefits
Log out of your current logged-in account and log in again using your ET Prime credentials to enjoy all member benefits.
Unlock ETPrime's Exclusive Stories Today!
Big Price Drop! Flat 40% Off
Student Only OfferAlready a Member? Sign In nowAlready a Member? Sign In nowAlready a Member? Sign In nowOffer Exclusively For You
Save up to Rs. 700/-
ON ET PRIME MEMBERSHIP
Avail OfferOffer Exclusively For You
Get 1 Year Free
With 1 and 2-Year ET prime membership
Avail OfferOffer Exclusively For You
Get 1 Year Free
With 1 and 2-Year ET prime membership
Avail OfferOffer Exclusively For You
Get Flat 40% Off
Then ₹ 1749 for 1 year
Avail OfferOffer Exclusively For You
ET Prime at ₹ 49 for 1 month
Then ₹ 1749 for 1 year
Avail OfferSpecial Offer
Get flat 40% off on ETPrime
Avail OfferAvail OfferClaim NowAlready a Member? Sign In nowNeed Assistance?
Connect with an ETPrime expert for personalized support and guidance
+91 9484700004'; }); } if(listing) { var h3 = "You tried reading " + listArr.length + " locked stories in the past " + threshold + " days.", h4 = "Become an ET Prime member and don't miss out on these exclusive stories."; var html = '' + h3 + '
' + h4 + '
- ' + listing + '
What’s Included with
ETPrime Membership
1Exclusive Insights That Matter
Uncover the truth with our investigative stories
Make strategic moves using the real-world case studies
Read industry-specific stories to identify emerging trends
Spot opportunities with in-depth insights that matter
Trump temper on H-1B visas is forcing Indians to do these things to stay put in US
What Adani’s US indictment means for India Inc’s overseas fundraising
Why veterans like Reliance, L&T are on acquisition spree? Aswath Damodaran has an answer.
Will China’s dollar bond sale in Saudi Arabia trump the US in financial world?
Huawei launches its own OS to compete with Google and Apple. But can it win beyond China?
The problem with lab grown diamonds
Why a falling rupee is a better option for the economy
A list of top 20 momentum stocks that have delivered massive returns in one year
2Invest Wisely With Smart Market Tools & Investment Ideas
Alpha Trade
Get daily trade ideas from SEBI-registered research analysts.
Investment Ideas
Grow your wealth with stock ideas & sectoral trends.
Stock Reports Plus
All-in-one stock research with Stock Score, peer comparison & key signals.
BigBull Portfolio
Get to know where the market bulls are investing to identify the right stocks.
Stock Analyzer
Check the score based on the company's fundamentals, solvency, growth, risk & ownership to decide the right stocks.
Market Mood
Analyze the market sentiments & identify the trend reversal for strategic decisions.
Stock Talk Live at 9 AM Daily
Ask your stock queries & get assured replies by ET appointed, SEBI registered experts.
3Stay informed anytime, anywhere with ET ePaper
ePaper - Print View
Read the PDF version of ET newspaper. Download & access it offline anytime.
ePaper - Digital View
Read your daily newspaper in Digital View & get it delivered to your inbox everyday.
Wealth Edition
Manage your money efficiently with this weekly money management guide.
TOI ePaper
Read the PDF version of TOI newspaper. Download & access it offline anytime.
Deep Explainers
Explore the In-depth explanation of complex topics for everyday life decisions.
Health+ Stories
Get fitter with daily health insights committed to your well-being.
Personal Finance+ Stories
Manage your wealth better with in-depth insights & updates on finance.
5Enjoy Complimentary Subscriptions From Top Brands
Stream new documentaries from all across the world every day.
Stories you might be interested in
Figures reflect the source report and its stated period. This article is for information and is not investment advice.
