\n<\/p>\n
MUMBAI, Nov 4 (Reuters) – Indian government bond yields
\nare expected to trend higher in early trades on Friday, ahead of
\nfresh supply through debt auction, while elevated U.S. yields
\nwill continue to weigh on investor appetite.<\/p>\n
The benchmark 10-year yield is likely to be
\nin a 7.47%-7.53% band, a trader with a private bank said. The
\nyield ended eight basis points higher at 7.4829% on Thursday and
\nalso posted its biggest single-session rise since Oct. 6.<\/p>\n
“After the Federal Reserve policy meeting, sentiment has
\nturned cautious, and we may see continuation of yesterday’s
\nselling pressure at least till the auction bidding today,” the
\ntrader said.<\/p>\n
New Delhi will raise 300 billion Indian rupees ($3.63
\nbillion) through sale of bonds, which includes liquid five-year
\nand 14-year bonds later in the day.<\/p>\n
The 10-year U.S. yield was trading above 4.15%, while the
\ntwo-year yield which is a more direct indicator of interest rate
\nexpectations, was above 4.70%, its highest level in over 15
\nyears.<\/p>\n
On Wednesday, the Fed raised interest rates by 75 basis
\npoints, and said its battle against inflation will require
\nborrowing costs to rise further.<\/p>\n
Chair Jerome Powell had said the “ultimate level” of the
\nU.S. central bank’s policy rate would likely be higher than
\npreviously estimated and there is some ground to cover to reach
\na “sufficiently restrictive” level that will slow inflation.<\/p>\n
The Reserve Bank of India’s Monetary Policy Committee met on
\nThursday to discuss the bank’s report to the government, for
\nhaving failed to meet its inflation targets for three straight
\nquarters for the first time since it was set up in 2016.<\/p>\n
The committee is mandated to keep inflation within 2
\npercentage points on either side of its 4% target, and a miss
\nfor three quarters requires it to provide an explanation to the
\ngovernment, along with the recourse it plans to adopt.<\/p>\n
India’s retail inflation has remained above 6% since January MUMBAI, Nov 4 (Reuters) – Indian government bond yields are expected to trend higher in early trades on Friday, ahead of fresh supply through debt auction, while elevated U.S. yields will continue to weigh on investor appetite. The benchmark 10-year yield is likely to be in a 7.47%-7.53% band, a trader with a private bank …<\/p>\n","protected":false},"author":1,"featured_media":36295,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[161],"tags":[],"_links":{"self":[{"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/posts\/36294"}],"collection":[{"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/comments?post=36294"}],"version-history":[{"count":0,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/posts\/36294\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/media\/36295"}],"wp:attachment":[{"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/media?parent=36294"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/categories?post=36294"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.brandon.ddtest.info\/multisite-test\/wp-json\/wp\/v2\/tags?post=36294"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\nand accelerated in September to a five-month high of 7.41%
\nyear-on-year as food prices surged.
\nKEY INDICATORS:
\n** Brent crude futures was 0.4% higher at $95.10 per
\nbarrel, after easing 1.6% in previous session
\n** 10-year U.S. Treasury yield was at 4.1151% and
\nthe two-year note at 4.6301%
\n** RBI to set underwriting fees for 300 billion rupees weekly
\nbond auction
\n** India to sell federal government bonds worth 300 billion
\nrupees
\n** RBI to conduct 14-day variable rate reverse repo auction for
\n1.50 trillion rupees
\n($1 = 82.6770 Indian rupees)
\n(Reporting by Dharamraj Dhutia; Editing by Rashmi Aich)<\/p>\n<\/div>\n\n
Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"