Sovereign Bond Market

RBI: Multiple price auctions make a comeback

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RBI: Multiple price auctions make a comeback

Mumbai: The Reserve Bank of India (RBI) is reverting to the multiple price method for all auctions of government bonds, three years after the Centre’s money manager had moved to the uniform price method to curb volatility in the sovereign bond market amid the Covid crisis. “On a review of the prevailing and evolving market … Read more

Rupee’s dive traps FPIs with unhedged govt bond positions

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Rupee’s dive traps FPIs with unhedged govt bond positions

Mumbai: Unhedged currency-risk exposure of overseas funds has roiled India’s relatively calm sovereign bond market, hitherto in a one-way bull run ahead of favourable global index recasts, as the usually steady rupee abruptly slid to record lows on both onshore and offshore platforms Friday amid an evident risk-off sentiment worldwide. Foreign portfolio investors, having splurged … Read more