Bonds fall, rupee trims gains after RBI policy review

Tue Aug 5, 2014 11:30am IST

A private money trader counts rupee currency notes at a shop in Mumbai August 1, 2013. REUTERS/Vivek Prakash/Files

A private money trader counts rupee currency notes at a shop in Mumbai August 1, 2013.

Credit: Reuters/Vivek Prakash/Files

Related Topics

MUMBAI (August) - Bond yields rose on Tuesday after the central bank cut banks' statutory liquidity ratio and their held-to-maturity ratio by half a percentage point each.

The RBI kept its key policy repo rate unchanged as widely expected, but warned about inflationary risks should a shortfall in monsoon rains spark a surge in food prices.

The benchmark 10-year bond yield rose 4 basis points to 8.77 percent, while the new 10-year bond yield IN084024G=CC advanced 4 bps to 8.54 percent.

The Nifty briefly fell 0.2 percent. It had been flat before the policy outcome.

The partially convertible rupee trimmed gains to 60.88 per dollar from 60.83 before the policy outcome. It had closed at 60.93/94 per dollar on Monday.

(Reporting by Swati Bhat; Editing by Subhranshu Sahu)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS EXCLUSIVE

REUTERS SHOWCASE

iOS 8 Issue

iOS 8 Issue

iOS 8 causing Bluetooth connectivity issues - Apple news blog  Full Article 

Modi In U.S.

Modi In U.S.

Obama, Modi work to deepen improving U.S.-India ties  Full Article | Full Coverage 

NYT Job Cut

NYT Job Cut

New York Times to cut jobs as new products disappoint  Full Article 

Factory Activity

Factory Activity

Factories expand at slowest pace this year in September  Full Article 

Monetary Policy

Monetary Policy

RBI not biased towards either raising or cutting rates - Rajan  Full Article 

Weak Demand

Weak Demand

Weak demand hits factory activity across Asia, Europe  Full Article 

Pimco Fund

Pimco Fund

Pimco Total Return Fund posts record $23.5 bln net outflow in Sept  Full Article 

Hopeful of Profit

Hopeful of Profit

GM sees first European profit in 2016 after years of losses  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage