Indian government bonds rebound as US yields and oil fall
Business
Indian government bonds finally broke their losing streak on Tuesday, thanks to a drop in US Treasury yields and cheaper crude oil.
The key 6.94% 2036 bond yield slipped to 7.1628%, down 2 basis points from Monday's close, the highest since April 2024.
Indian bonds still face multiple pressures
Even with this rebound, things aren't totally smooth for Indian bonds.
High global interest rates, inflation worries, and tight banking liquidity are still weighing on the market.
Plus, the government's plan to borrow more, mostly through longer-term debt, means supply pressures aren't going away any time soon.