The Economic Times

Indias 10-year bond yield hits 3-year high as RBIs liquidity measure weighs on demand

Indian government bonds extended losses on Monday, pushing the benchmark 10-year yield to a three-year high as the RBIs latest liquidity-tightening measures added to selling pressure. Tighter banking-system liquidity can curb banks capacity to invest in government securities, weakening bond demand and pushing prices lower and yields higher.