Bonds erase losses on suspected RBI intervention and planned debt buyback

Published On: 13, Dec 2017 | Source: business-standard.com

Indian erased losses and traded marginally higher on Tuesday as traders said the central likely intervened by buying in the secondary market, while sentiment was also helped after the announced a planned debt buyback.

Data on how much the Reserve of bought in secondary markets was not immediately available. Such data is available daily after the close of markets as well as weekly.

The Reserve of also announced the will buy back 200 billion rupees ($3.10 billion) of on Dec. 18.

The benchmark 10-year bond yield was down 2 basis points at 7.17 percent from its close on Tuesday, having earlier risen to as high as 7.26 percent after stronger-than-expected inflation data spooked investors.