Page 6 - Bond Yield News Today : Breaking News, Live Updates & Top Stories | Vimarsana

Excerpt

Concerns revolve around the mandatory prepayment clause, including coupon step-ups and utilising proceeds from the monetisation of assets like Afcons and Gopalpur Port.

Earlier in the day, states raised 160 billion rupees ($1.92 billion), the lowest for a weekly auction, via 10-year bonds at around 7.74%.

G Chandrashekhar says: “Once the speculators start to unwind their overly bullish bets, I think that will probably place a cap on the upside potential for gold. But once the rate cut signals become clear because the timing is what is important. And therefore, once the timing of the rate cut becomes clear, which in my view could be in the second quarter then gold will start to move up decisively.”

Given the US bubble economy, a rising fiscal deficit and foolish behaviour of markets, the Federal Reserve faces a tough balancing act. It has already had to walk back some dovish statements, and further policy mistakes risk damage to the entire global economy.