Bond Bulls Nervous as Rajan Leaves After Best Debt Rally: Chart

Investors in India’s bonds and currency may be anxious after the government named Urjit Patel, to take over Sept. 4 at the nation’s central bank. Current Governor Raghuram Rajan’s term three-year term saw bonds generate 12.5 percent a year while the rupee offered an 8.3 percent annualized total return, better than the performance under his two predecessors. Patel, who served as deputy governor under Rajan, has a reputation as an inflation hawk that may benefit the currency, while offering some challenges to recent rallies in stocks and bonds.

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