MUMBAI, March 14 (Reuters) – Indian government bond
yields trading sideways, with a cautious bias, in early trades
on Thursday, as U.S. Treasury yields rose further in the run-up
to the Federal Reserve’s monetary policy decision due next week.
The benchmark 10-year yield was at 7.0448% as
of 10:00 a.m. IST, following its previous close of 7.0405%.
“There will be consolidation around the 7.05% levels for the
benchmark and till the Fed decision, we may not see attempts to
break the 7% levels,” a trader said.
The 10-year U.S. yield hit 4.20% on Wednesday as
the country’s recent inflation data stubbornly refuses to ease,
dampening hopes of aggressive rate cuts by the Fed.
The Fed’s monetary policy decision is due on Wednesday and
though no rate cut is expected, the worry is that some officials
may dial back their rate cut expectations for 2024.
The odds of a rate cut…
