Mumbai: Indian federal bond yields rose on Thursday, as tight cash conditions, bond auctions and cash outflows for quarterly tax payments by firms weighed on sentiment.
At 9:14 am, the 10-year benchmark bond yield was at 8.39%, higher than Wednesday’s close of 8.37%.
After selling treasury bills worth Rs90 billion on Wednesday, the central banks is scheduled to auction Rs80 billion of government bonds on Friday.
Weekly inflation is due at 6 pm, with the market expecting a decline for the third week in a row.
A Reuters poll showed annual inflation at 11.96% on August 30, below 12.34% a week earlier.