India 10Y Yield Rises on Oil Spike

2026-04-13 07:21 By Mariene Camarillo 1 min. read

The yield on India’s 10-year G-Sec rose to around 6.9%, extending gains from the previous week as a sharp rise in oil prices and renewed geopolitical tensions triggered broad-based selling in domestic bond markets.

Sentiment weakened after Brent crude jumped over 7% to $102.2 per barrel, following the US move to begin a blockade of all maritime traffic entering and exiting Iranian ports after weekend talks failed to reach a peace deal, raising fears of renewed supply disruptions through the Strait of Hormuz.

The selloff was further amplified by foreign portfolio outflows, with overseas investors continuing to trim exposure to local debt amid uncertainty over growth and inflation dynamics.

Traders now expect the benchmark yield to trade in a 6.85%–7.00% range, as markets remain closely attuned to oil price movements, capital flows, and evolving geopolitical risks.

Debt markets will be closed on April 14 and will resume trading the following day.



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