Friday 22 August 2014

Bonds fail to budge despite RBI liquidity tweaks

10-year bond yield steady at 8.50 per cent. Does not budge even after RBI announces revised framework for liquidity management. Traders say measures will not lead to more liquidity injections. 

"This a slight improvement on the previous system, exactly what the market had recommended, but only marginally positive for short-end bonds. Still largely neutral," says a trader. Foreign funds bought debt worth $2.65 billion in a single session on Wednesday, regulatory data showed. 

Results of the Rs 12000 crore (1.99 billion US dollar) debt sale later in the day will be watched for cues. 


No comments:

Post a Comment