Rising interest rates around the world have yet to ensnare Indian bonds
If an investor in Indian bonds went on a month-long vacation in late February they’d have missed nothing. War, rising commodity and oil prices, and surging bond yields globally have done nothing to the price of a 10-year Indian government bond.
At 6.7 to 6.9 percent, Indian bond yields have stayed stable. One reason for this is that bond auctions for the new fiscal are expected to kick off in April. In the absence of fresh supply in March, putting a price on the current stock of bonds has been difficult. “Markets are subdued at this point in time [and you] don’t have too many nervous players sitting with bonds,” says Anant Narayan, associate professor at SP Jain Institute of Management and Research.