Currency Buzz: India Bond Yields Spurt 7.4%; INR Settles At Record High Above Rs 81/$ Mark

23 Sep 2022 , 05:25 PM

Indias benchmark bond yield climbed to 7.4%, the highest level since July, tracking sharp spike in US treasury yields. US benchmark treasury yields soared to 3.8% after the Federal Reserve raised its funds rate by 75bps for the third consecutive decision and signaled that rates will remain restrictive for a prolonged time to bring down inflation. Increase in interest rates by global central banks is adding pressure on the Reserve Bank of India to follow suit. Meanwhile, the Indian rupee surged to an all time high above Rs 81 per dollar and ended the day at 81.09 as compared to previous close at 80.79 per dollar. At the interbank foreign exchange market, the local currency breached the 81-mark for the first time ever and slumped to 81.23 against the American currency. Powered by Commodity Insights