22.04.202607:19:41UTC+00India 10Y Yield Steady on Oil, Growth Risks

The yield on India’s 10-year G-Sec hovered around 6.87%, steadying after recent declines as investors weighed a combination of global and domestic signals. Market sentiment remained driven by geopolitical developments, with tensions elevated after US President Donald Trump announced that the ceasefire would be extended indefinitely while a blockade on shipping through the Strait of Hormuz would be maintained. The decision followed the breakdown of planned negotiations, as Iranian representatives declined to participate and US–Iran talks effectively ground to a halt.

Oil prices continued to play a central role in global market dynamics, with Brent crude trading near $98 after a strong rally, keeping India’s import bill and inflation risks in the spotlight. At the same time, Moody’s Ratings lowered India’s FY2027 growth forecast to 6.0% from 6.8%, citing weaker consumption driven by higher energy costs. This revised estimate now falls below the RBI’s 6.9% projection, even as Q1 growth held steady at 6.8%.