India’s benchmark 10-year government bond yield (IN063335G) closed slightly lower at 6.4934% on November 26, down from the previous close of 6.4984%. The movement reflects growing market optimism for potential rate cuts as inflation remains benign, with investor focus on the upcoming RBI policy meeting.
India’s 10-year benchmark government bond yield finished modestly lower at 6.4934% today, compared to Tuesday’s close of 6.4984%. Market sentiment was buoyed by expectations of monetary easing, especially as retail inflation continues to trend well below target and economic growth faces moderation.
The government’s planned reform bills in the winter Parliament session and ongoing Reserve Bank of India interventions have helped stabilize the bond market. Recent large-scale RBI bond purchases have supported liquidity, reinforcing investor confidence and putting downward pressure on yields.
Despite sideways movement over the past month, the current yield remains significantly lower than its yearly high, signaling improved macroeconomic stability and successful monetary management. Analysts widely anticipate a 25-basis-point rate cut in December, with further easing possible should economic momentum remain subdued.
Key Highlights
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India’s 10-year benchmark bond yield closed at 6.4934%, slightly lower than previous close
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Investors optimistic about possible RBI rate cut at December policy meeting
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Yield stabilizes amid low inflation and steady RBI liquidity support
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Upcoming government reforms and RBI purchases buoy market sentiment
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Bond yields remain near 7-month lows, much below yearly peaks
Market awaits Q3 GDP data, inflation trends for future rate direction
Source: Trading Economics, Economic Times, Reuters, MarketWatch.