How concentrated yield management is impacting govt bonds

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Traders are seen buying the benchmark papers in anticipation that those will be accepted in RBI’s bond purchase programmes at a slightly lower yield. Synopsis Last week, the benchmark bond yield dropped below the crucial 6 percent mark to 5.96 percent after the central bank announced a Government Securities Acquisition Programme (GSAP) for Rs 35,000 … Read more

RBI consults banks on rupee intervention strategy

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Mumbai: The Reserve Bank of India (RBI) consulted top bank treasury heads recently to seek their inputs with the central bank’s intervention in the forward market having failed to check the rupee’s rise, multiple sources familiar with the matter told ET. Banks suggested that the central bank intervene in the spot market instead but do … Read more

RBI fails to sell bonds worth nearly Rs 31,000 crore

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Mumbai: The gulf between the Reserve Bank of India and market expectations on yields widened with the central bank failing to sell bonds or letting them devolve on primary dealers, raising the spectre of another battle with investors. New Delhi’s merchant banker raised only Rs 190 crore of the planned Rs 31,000 crore in government … Read more