India's bond yields rise amid RBI cash drain plans
after close1 source ↓written by the desknot a recommendation
- announcement
- 1 trillion-rupee bond sale
- rising
- 4.82%
- in July
- 4.45%
- in surplus cash
- ₹10 trillion
India's 10-year bond yield surged following a 1 trillion-rupee bond sale announcement by the Reserve Bank of India (RBI) and August inflation rising to 4.82% from 4.45% in July. This marks the largest one-day increase since July 8, indicating investors are demanding higher returns on government debt. The RBI's actions aim to manage excess liquidity in the banking system, which currently holds over ₹10 trillion in surplus cash.
Not investment advice. For informational purposes only.