Demand for Indian government bonds weakened on Monday, pushing the benchmark 10-year yield up by the most in over a month, after the central bank unexpectedly brought forward the deadline for its discounted swap window for diaspora deposits.
The yield on the benchmark 6.94% 2036 bond surged 5 basis points to 6.8071%, its biggest single-day jump since July 14. Bond yields move inversely to prices. It settled above the key 6.80% level as stop-losses were triggered, which traders said could pave the way for further increases in yields in the next few sessions.
