Sovereign bonds declined on Friday, with the 10-year yield rising one basis point to 7.73%. Photo: MintMumbai: Bond investors are finding out that the Reserve Bank of India (RBI) isn’t as generous as they thought. Sovereign debt declined for a third day on Friday, wiping out gains fuelled by the RBI’s 4 May decision to inject cash by buying bonds. Sharma said he expects the benchmark yield to hold in the 7.60-7.65% range. In fiscal 2017, when the RBI bought bonds worth Rs1.1 trillion, the benchmark yield fell to a seven-year low.

Source: Mint May 14, 2018 06:56 UTC