Indian bond yields climb as traders panic sell on widening border conflict
Indian government bond yields increased early Friday. This happened as traders reduced positions after attacks along India's western border. The benchmark 10-year yield reached 6.4303%. Factors like the India-Pakistan conflict and rising U.S. yields contributed. The Indian rupee, stocks, and bonds also experienced a decline. New Delhi plans to borrow 320 billion rupees via bonds.
Tired of too many ads?
Remove Ads
Tired of too many ads?
Remove Ads
RATES
Indian government bond yields rose in early trade on Friday as traders nervously trimmed positions after Pakistani forces launched multiple attacks along India's western border.The benchmark 10-year yield was at 6.4303% as of 10:40 a.m. IST, compared with previous close of 6.3976%.It hit a high of 6.4416% in initial trading."There's the India-Pakistan conflict situation, U.S. yields are higher and crude oil has also gone up, so bonds will remain subdued," said Gopal Tripathi, head of treasury and capital markets at Jana Small Finance Bank "We may see 10 basis points upward move during the day, since 6.40% levels were broken."The Indian rupee, stocks and bonds fell after Pakistan's armed forces launched several attacks using drones and other munitions along India's western border on Thursday night and early Friday.Meanwhile, New Delhi is set to borrow 320 billion rupees ($3.7 billion) via bonds maturing in November 2039 and April 2065 later in the day.The jitters around the conflict will likely impact the demand for the auction, after the cutoff on the underwriting fee was unusually high.The debt market is closed on Monday due to a local holiday, which is further making traders wary and they may avoid taking positions before a long weekend.The Reserve Bank of India is set to buy bonds worth 250 billion rupees in the day, which is likely to provide some comfort to the traders.India's overnight index swap rates rose early Friday, as investors leaned towards paying positions amid escalating India-Pakistan conflict that is clouding prospects for rate cuts, traders said.The one-year OIS rate was up 2 basis points at 5.68%, while the two-year OIS rate was up 3 bps at 5.58%, and the most liquid five-year OIS rate was up 3 bps at 5.71%. ($1 = 85.7700 Indian rupees)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
34 minutes ago
- Time of India
Indian expats strike luck in UAE big ticket raffle, wins Dh150,000 each
After years of trying, Indian expats in the UAE win Dh150,000 each in the latest Big Ticket draw, with some sharing their winnings among friends/ Live Screen Grab As anticipation builds for the Dh25 million Big Ticket grand prize draw on July 3, five lucky individuals have already secured a windfall of Dh150,000 each in the latest round of winnings, among them, several Indian expatriates who have spent years in the UAE building lives, working hard, and hoping for a breakthrough. This month's Big Ticket Abu Dhabi draw turned dreams into reality for a delivery rider, a businessman, a former UAE shop owner, and other long-time residents who placed their bets with persistence, patience, and a dash of hope. Kerala Delivery Rider Strikes Gold After Six Tries Abdulla Pulikkoor Mohammed, a 34-year-old delivery rider from Kerala, has been living in Abu Dhabi for the past nine years, supporting his family back in India. Despite having purchased only six Big Ticket entries, he hit the jackpot this time, sharing the winning ticket with a group of 12 friends. 'Receiving the winning call made me feel happy. I plan to split the prize money with my friends and use my share to clear some loans,' he told Khaleej Times . 'Big Ticket is truly doing wonders, and I believe everyone should take part.' His win is a reflection of how even modest participation, when shared and consistent, can lead to big rewards. Businessman From Kerala Wins in Just Seven Months Another Indian expat, Salihrahman Pallipadath, a 37-year-old businessman, has been living in Ajman for 15 years with his family. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Good News: You May Be Richer Than You Think Undo Though he first learned about Big Ticket two years ago, he only started buying tickets seven months ago, also as part of a group of 11 friends. 'Receiving the winning call was a great experience – I'm truly happy,' Pallipadath said. 'I plan to use the prize money to renew my company visa. I'll continue purchasing from Big Ticket, and I encourage others to do the same. It's a luck-based raffle, and everyone should keep trying.' His story is one of perseverance and optimism, especially significant in the face of everyday business pressures and long-term responsibilities as a UAE-based entrepreneur. Former Sharjah Shop Owner Wins After a Decade of Tries Babulal Gautam, a 68-year-old from Mumbai, India, is another Big Ticket success story. He lived in Sharjah in 2014, where he ran a shop before returning to Mumbai. He's been buying Big Ticket entries for ten years, a full decade of trying that finally paid off. 'I actually missed the winning call, but I saw the email and was overjoyed. I kept checking and rechecking to make sure it was real. After a whole decade of trying, it finally happened,' he said. Known for his practical outlook, Gautam shared a piece of advice for hopefuls: 'I'm more of a scientific person and don't believe in luck much, so I believe the first step to winning is to simply buy a ticket.' His long journey with the raffle is a reminder of the patience and persistence that many expats maintain in the face of uncertain rewards. Also among the Dh150,000 prize winners is Shaji Memana, another Indian expat originally from Kerala. Memana bought his winning ticket online, and the news of his win came as an unexpected joy. Countdown to the Dh25 Million Grand Prize The next major Big Ticket event is the live grand prize draw on July 3, where the staggering Dh25 million jackpot will be awarded. In addition to the main prize, three winners will take home Dh75,000 each. Leading up to the grand event, Big Ticket will also hold weekly E-draws, with upcoming dates as follows: Week 1: June 10 Week 2: June 17 Week 3: June 24 Week 4: July 1 With decades-long participation from the Indian community, especially among expats, Big Ticket continues to hold deep emotional and financial appeal. It offers not just a shot at fortune, but a moment of recognition and relief for thousands working hard across the UAE.
Time of India
43 minutes ago
- Time of India
‘Turnaround story next year': Pakistan's debt increases to PRs 76,000 billion; its FM claims economy on path to recovery
Pakistan FM said that GDP growth increased from -0.2pc in 2023 to 2.5pc in 2024. (AI image) Pakistan's total debt has risen to PRs 76,000 billion during the initial nine months of the present fiscal year, as revealed in its economic survey. The report indicates that the financially constrained nation is expected to achieve a growth rate of 2.7 per cent this year. During the Economic Survey 2024-25 release on Monday, Finance Minister Muhammad Aurangzeb stated that the Pakistani economy has shown signs of recovery over the past two years, with further stabilisation and strengthening observed in the current fiscal year. The survey, an essential pre-budget publication, outlines the government's economic achievements for fiscal year 2024-25. The country's financial calendar commences on July 1. According to the document released prior to the budget presentation, the government's debt in the first nine months of the current fiscal year reached PRs 76,000 billion, comprising PRs 51,500 billion from domestic banks and PRs 24,500 billion from external borrowing. During a press briefing following the economic survey launch, Aurangzeb said that GDP growth increased from -0.2pc in 2023 to 2.5pc in 2024, according to a PTI report. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like This Device Made My Power Bill Drop Overnight elecTrick - Save upto 80% on Power Bill Pre-Order Undo Also Read | Economy in dire straits, India's Indus Waters Treaty blow: Can Pakistan avoid the 'begging bowl'? "This year, we announced a 2.7pc growth for 2025. This is a gradual recovery and the right way to go about it is to focus on sustainable growth," he said. He contextualised Pakistan's recovery against global economic performance, noting that worldwide GDP growth was 2.8 per cent. " The next fiscal year will be a turnaround story," he claimed, indicating a budget that may aim to comply with IMF requirements. Discussing economic indicators, Aurangzeb noted that the current account showed a surplus of $1.9 billion in July-April FY25, supported by IT exports of approximately $3.5 billion. "Remittances are projected to reach $37-38 billion by year-end, up from $27 billion two years ago," he said. Addressing macroeconomic metrics, the minister reported, "public debt and debt-to-GDP ratio was 68 per cent, which is now 65 per cent." The forex reserves reached $9.4 billion as of June 30, 2024, marking an improvement from 2023's position when Pakistan had only two weeks of import coverage. The foreign exchange reserves increased to $16.64 billion in 2025. The State Bank of Pakistan maintained $11.5 billion, whilst commercial banks held $5.14 billion. Also Read | 270 million pulled out of poverty! How Modi government achieved a remarkable dip in extreme poverty & what's the road ahead? Explained Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
India Gazette
44 minutes ago
- India Gazette
Swiss cosmetics brand Cellcosmet says it's time to enter India market
Bern [Switzerland], June 9 (ANI): Tancrede Amacker, CEO of Swiss cosmetics firm Cellcosmet, on Monday showed clear intent that he wishes to enter India market. The Swiss CEO met Commerce Minister Piyush Goyal, who is on a two-day Switzerland visit. 'It was a wonderful do high-end cosmetics, we sell high-end skincare made in Switzerland, and the idea is how could we enter India,' he told ANI. 'It's a wonderful country in terms of size and the population is have the pleasure to serve the Indian customers in Singapore, in London or in Switzerland, but not yet in India, and it's time for us to enter,' he added. 'So we were discussing about the possibilities when it comes to distribution,' he further said. During the meeting, they talked of possibility of collaborating with Nykaa. 'That's a wonderful platform that (and) we are very interested in,' the CEO, said, referring to Nykaa. He said minister Piyush Goyal suggested the Swiss company to think about co-packing initially, and produce in India at a later stage. 'The first step would be to enter India through a partner, so Nykaa could be one, that's kind of distribution partnership where we are help take I would say the understanding and the knowledge of the market and trying to adapt a business proposition to the Indian market,' he explained. And then in the second stage, we will find the right places to do this copacking and maybe manufacturing. An India trip is being organised for Swiss companies in September, the CEO said. 'A lot of Swiss colleagues will come along the way and we'll find out what are the best locations for us to implement,' he said. 'It's a wonderful investment destination. I mean that's the size of the market, but also the appetite for luxury goods as well is extremely strong. It's a very young and dynamic population, very educated as well, so it clicks, all I would say the right boxes for manufacturing and selling high-end cosmetics,' he concluded. Union Minister of Commerce and Industry Piyush Goyal, commenced his official visit to Switzerland on Monday, as part of his ongoing visit to Switzerland and Sweden from 9-13 June 2025. 'This visit underscores India's steadfast commitment to deepening strategic and economic partnerships with key European nations, advancing robust trade and investment ties, and supporting a shared vision for resilient global growth,' his ministry said in a statement. The visit commenced in Switzerland today, where the Minister engaged with global CEOs and prominent industry leaders to explore opportunities for strengthening bilateral trade and investment. The itinerary includes focused sectoral meetings with prominent Swiss industry leaders in areas such as Pharma and Life Sciences, and Precision Engineering/Machine Tools/High-tech Manufacturing. The Minister will also connect with the ICAI Zurich Chapter and interact with Indian media. A significant highlight will be meeting with Federal Councillor Guy Parmelin fostering strong trade and diplomatic ties. 'A significant component of the high-level visit to Switzerland will include a series of one-on-one meetings with leading Swiss companies. Indian industry representatives will also participate in these crucial engagements, fostering direct dialogue and exploring specific collaboration opportunities. The day will also feature participation in the Swissmem Industry Day and a Business Round Table with the Swiss Mechanical and Electrical (MEM) Industry, where deliberations will focus on the potential and opportunities arising from the India-EFTA Trade and Economic Partnership Agreement (TEPA),' the commerce ministry statement said. (ANI)
