Skip to content
Subscriber Only

Bonds in India Slide on Heavy Borrowings; RBI Cuts Trading Hours

  • 10-year bond yields climb the most since January last year
  • RBI reduces bond, rupee market trading day to four hours
The empty Delhi Junction railway station on March 30.

The empty Delhi Junction railway station on March 30.

Photographer: T. Narayan/Bloomberg
Updated on

Indian bonds suffered their biggest drop in more than a year on concerns about a large government borrowing amid a nationwide lockdown that’s diminished trading activity in the country’s financial markets.

The benchmark 10-year yield surged 17 basis points to 6.31% on Friday, its biggest jump since January 2019, with traders getting their first chance to react to the fundraising due to the holidays on Wednesday and Thursday. The rupee declined 0.8% to 76.1725 per dollar.