Bond yields hit a low of 7.99 per cent today, the lowest level since July 2013, as the RBI Governor held out hope that there could be a cut in rates early next year.
10-yr gov bond yield at 7.99. Down almost 80 basis points since this July. Bond markets are not waiting for RBI.
— lokeshwarri sk (@lokeshwarri)
>December 2, 2014In the monetary policy announcement today, the RBI has decided to hold the rates. The repo rate remains unchanged at 8 per cent. There are no changes in CRR either which remains at 4 per cent of deposits.
The RBI Governor, Raghuram Rajan, has said that a change at this juncture is premature.