Bond yields edged lower after Fed's decision to leave U.S. rates low for 'a considerable time', which though was on expected lines, mainly the clarity led to some rally. Further, foreign fund buying also aided debt prices. Fed reaffirmed its commitment to keep interest rates near zero for a 'considerable time,' and repeated concerns over slack in the labor market, standing firm against calls to overhaul its policy statement.
On the global front, U.S. Treasury debt prices fell on Wednesday after the Federal Reserve kept in place near-zero interest rates and other ultra-loose U.S. monetary policies meant to boost economic growth. Meanwhile, brent crude dropped towards $98 per barrel on Thursday, pressured by a stronger dollar on fears about a looming U.S. interest rate increase and a steep spike in U.S. crude stocks.
Back home, the yields on new benchmark 8.40%- 2024 bonds were trading 3 basis points lower at 8.47% from its previous close of 8.50% on Wednesday.
The benchmark five-year interest rate swaps were trading 4 basis points lower at 7.90% from its previous close of 7.94% on Wednesday.
The Government of India have announced the sale (re-issue) of four dated securities for Rs 12,000 crore on September 19, 2014, including (i) 8.27% Government Stock 2020 for a notified amount of Rs 2000 crore, (ii) 8.40% Government Stock 2024 for a notified amount of Rs 6000 crore, (iii) 8.32% Government Stock 2032 for a notified amount of Rs 2000 crore and lastly (iv) 9.23% Government Stock 2043 for a notified amount of Rs 2000 crore respectively.
MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.
To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.
MoneyWorks4Me ensures this through: