Indian State-Run Banks Selling Into 10-Year Bond Rally
Source: BFW (Bloomberg First Word)
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Sandeep Bagla (Trust Capital Services Pvt Ltd)
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UUID: 7947283
(Bloomberg) -- State-run banks have been net sellers on most days in which bond market has gained, Bloomberg calculations since the last monetary policy decision on Aug. 9 show.
Alert: HALISTER1- Benchmark 7.59% 2026 bond yield has dropped on 10 days; state-run banks have been net sellers of govt bonds on 8 of those days
- State banks were biggest net sellers ever when RBI met on Aug. 9; yield fell 5 bps on that day after RBI said it will front load liquidity needs of banking system to meet non- resident deposit outflows
- “The government bond market is getting structurally stronger. State-run banks are the most savvy investors who buy low and sell high. They will support the market at lower price levels,” says Sandeep Bagla, associate director at Trust Capital Services
- Yield on 7.59% 2026 bond down 1 bp to 7.05%
Source: BFW (Bloomberg First Word)
People
Sandeep Bagla (Trust Capital Services Pvt Ltd)
To de-activate this alert, click here
UUID: 7947283