MUMBAI: Indian government bond yields were largely unchanged in early trade on Tuesday, showing a muted reaction to a renewed selloff in Treasuries that were hit by rising political uncertainties.
The benchmark 10-year yield was at 7.0055% as of 10:00 a.m. IST, following its previous close of 7.0105%.
“Overall activity is expected to remain shallow with benchmark bond yield stuck around the 7% mark, unless we have some new trigger,” a trader with a private bank said.
US bond yields rose on Monday, with the 10-year yield rising to a one-month high and nearly hitting 4.50% as uncertainty around the US presidential election as well as the French elections led to caution.
Investors have raised bets that former President Donald Trump may out beat US President Joe Biden at the elections due in November, especially after last week’s debate.
This has led to a selloff in longer-dated papers, even as short-term bonds are seen supported…
