State debt auction lifts India's bond market
India's bond market just got a lift—yields on the key 2035 bond dropped after Indian states raised ₹46,100 crore in a state debt auction.
The move drew strong interest from insurers, pension funds, and banks looking to restock after having sold notes to the Reserve Bank of India in open market operations.
Investors optimistic as state borrowing nears ₹10 trillion
With total state borrowing now close to ₹10 trillion, investors are feeling optimistic as they gear up for more government fundraising before March ends.
It's a positive sign for anyone watching fixed-income markets or thinking about where to park their money next.
Upcoming ₹32,000 crore auction to be closely watched
All eyes are now on the upcoming ₹32,000 crore auction for 2035 bonds set for February 27.
If demand stays high and yields keep dropping, it could mean even better conditions ahead for India's bond market—and more liquidity flowing through the system.