For retail investors intending to purchase bonds in lot size of say few lakh rupees, when there is no primary issue available or the primary issue is not matching up to the risk-return profile expected, one should go for purchases in the secondary market.
Oil prices remained jittery in the countdown to Wednesday's OPEC meeting but industrial commodities continued to benefit mightily from Chinese demand, both real and speculative.
The dollar index, which measures the greenback's strength against a basket of major currencies, stood at 100.410 after climbing to 100.570 overnight, its highest since April 2003.
The greenback slumped to a three-week low against the euro and lost ground versus the yen overnight, as some polls showed Republican Donald Trump ahead after the FBI said it was probing newly-found emails related to Democrat Hillary Clinton's use of a private server.
Asian stocks made a subdued start, with MSCI's broadest index of Asia-Pacific shares outside Japan edging down 0.l percent, reflecting Wall Street's unconvincing performance overnight.
The euro was steady at USD 1.0909 after adding 0.2 percent the previous day. The common currency managed to put some distance between a 7-1/2-month low of USD 1.0851 struck on Tuesday, when the dollar had surged against its peers on reinforced expectations towards the Federal Reserve hiking rates later this year.
Economists and fixed-income experts believe that while the rally in the bond market may pause it is far from done.
The benchmark 10-year government-security yield remained stuck in 8-7.5 percent range through all of 2015 and half of 2016, moving lower to sub-7 percent only when the RBI promised in April to reduce the system's liquidity deficit. The yield may now fall more.
The Reserve Bank of India (RBI) is likely to consider cutting interest rates by 25 basis points, or 0.25 percent, when it meets to decide on monetary policy on October 4, says Vivek Rajpal, Rates Strategist, Nomura India.
Cost of borrowings has come down but there is some pressure on the yield side, says Ashok Haldia, MD & CEO of PTC India Financial Services.
In an interview with CNBC-TV18, the noted value investor was talking about valuations of percieved expensive shares in India, such as private banks and NBFCs, which he said continue to offer prospects of high returns on equity.
The share market is in the midst of a roaring rally but there's another bull market taking place: in bonds.
The 10-year benchmark yield is likely to trade in a range of 7.35-7.40 percent today, says Ajay Manglunia of Edelweiss.
A 25 basis point cut by the Reserve Bank of India has already been factored in by bond markets, and yields are unlikely to move by much should it take place, says Federal Bank Executive Director Ashutosh Khajuria.
International financial institution IFC has issued a USD 30-million, 15-year rupee-denominated "masala" bond, proceeds of which it will use towards development of private sector enterprise in India.
The 7.59 percent government security maturing in 2026 declined to Rs 99.55 from Rs 99.63 previously, while its yield moved up to 7.65 percent from 7.64 percent.
The blended realisation during the December quarter has improved by Rs 10 per kg and this will enable the company to post much better performance compared to last year, said DP Maheshwari, MD & CEO of Jayshree Tea.
Vivek Rajpal, Rates Strategist, Nomura India in an interview to CNBC-TV18 spoke about the impact of IIP, CPI numbers on money market.
The indices -- Nifty 15 year and above G-Sec index, Nifty Composite G-sec index, Nifty 4-8 year G-Sec index and Nifty 11-15 year G-Sec index-- are aimed at providing benchmarks across government securities tenors.
In situation of short rainfall or EL Nino, yield will be impacted and not the overall production of all crops, Prerana Desai, Head-Research at Edelweiss Agri Research told CNBC-TV18.
US and German markets are seeing new highs in its bond markets. The global situation can become a potential risk for the economy and large capital companies in particular.
For anyone expecting interest rates to be stuck near zero for years to come, the past month has been uncomfortable.
Indian shares may open somewhat deep in the red, as signalled by trading in the Singapore-based SGX Nifty, after US shares closed more than 1 percent lower overnight, the biggest drop in three weeks.
India CPI inflation for March is likely to be higher at 5.70-5.80% which is bond negative, says Mohan Shenoi, Kotak Mahindra Bank.
In an interview to CNBC-TV18, Vivek Rajpal, Rate Strategist, Nomura shares his views on bond yields, rate cut and rupee. He expects the 10-year to be in the range of 7.70-7.85 percent in the near-term. He believes rupee is likely to remain range bound going ahead.