Indian government bonds tumbled on Monday, with the 10-year benchmark yield recording its biggest monthly rise of the fiscal year, as elevated oil prices and hawkish signals from the RBI were reinforced by the Federal Reserve.
The yield on the benchmark 6.94% 2036 bond ended at 6.9452%, its highest since June 8, after closing at 6.9108% on Friday. The yield rose 11 basis points in August, its biggest monthly increase this financial year.