Mumbai: Government 10-year bond prices rallied further on Wednesday as international crude oil prices declined after the US president Donald Trump threatened to place new tariffs on Chinese imports. The yield on the 10-year government bond was at 6.284% -- a level last seen on 6 December 2016, compared with Tuesday's close of 6.433%. Bond yield and prices moves in opposite direction. So far this year bond yield has fallen over 100 basis points. "Bond markets continued their winning streak rejoicing favorable dynamics marked by soft inflation, consequent expectations of further monetary policy easing and retreating US Treasury yields," said Edelweiss Finance in a 16 July report.

Source: Mint July 17, 2019 03:56 UTC