RBI Bond Purchases Support Yields Amid Global Tensions and Upcoming Auction

The Reserve Bank of India (RBI) has increased bond purchases to stabilize government securities yields amid liquidity drained by its foreign exchange interventions and global tensions from the US-Israel and Iran conflict. Despite rising crude oil prices and cautious market sentiment, steady demand from investor groups, including the RBI, has kept 10-year bond yields near six-week lows. Market participants are closely watching an upcoming government bond auction, the last of the fiscal year, to assess continued investor support and yield movements.