India’s 10-year bond yield edges higher as markets await RBI policy cues

The 10-year benchmark yield started the session at 6.5783%, extending Monday’s move when it had already climbed to 6.5732%, the highest closing level in over two months on the back of strong GDP data and a weaker rupee. Bond prices fell as investors pared expectations of imminent rate cuts from the Reserve Bank of India, which meets later this week.​

Recent data show India’s 10-year yields hovering near 6.5–6.6%, close to multi‑month highs, as markets balance robust domestic growth against hopes of continued policy support. Traders expect the benchmark yield to trade in a narrow band until clearer guidance emerges from the RBI and global central banks. The slightly higher open suggests continued caution rather than outright panic, with most participants watching FX moves, inflation prints, and RBI commentary for direction.​

Key Highlights

Benchmark 10-year bond (IN063335G=CC) opened at 6.5783% vs previous close 6.5732%.

Yield is near its highest level in over two months after Monday’s sharp rise.​

Upward pressure driven by strong GDP growth and doubts over immediate RBI rate cuts.​

Traders expect rangebound moves ahead of the RBI policy decision later this week.​

Bond market also tracking rupee weakness and global yield trends for additional cues.​

Sources: Reuters bond market reports, Trading Economics India 10-year G-Sec data, Economic Times and other financial market coverage.​