Indian government bonds slipped on Tuesday as rising crude prices and higher-than-expected cut-off yields at a state debt auction undercut positive sentiment from strong inflows drawn by the Reserve Bank of India's overseas deposit scheme.
U.S. forces bombed targets in southern Iran after President Donald Trump said Tehran would pay dearly for the deaths of American soldiers. Iran struck U.S. sites in Bahrain, Kuwait and Jordan, while a tanker was hit in the Strait of Hormuz. The attacks came a day after Yemen's Iran-aligned Houthis said they would impose a naval blockade on Saudi Arabia.
