Bonds-Markets-Economic Times
IREDA raises Rs 910 crore via bonds
State-owned IREDA on Tuesday said it has raised Rs 910 crore through issuance of bonds. The funds raised will enhance IREDA's Tier-II capital, increasing its net worth and capital-to-risk-weighted assets ratio (CRAR), IREDA said in a statement.
Inflation-Protected debt: The hedge Indian retail investors need
Inflation silently erodes investment returns, reducing real gains across asset classes. While tax indexation benefits have been rolled back, Inflation-Protected Securities (IPS) offer a reliable hedge. India's limited adoption of IPS presents an opportunity for expansion, ensuring stable real returns amid persistent inflationary pressures.
Fidelity, Schwab block orders of BlackRock, Texas Cap ETFs
A Schwab spokesperson said its decision is consistent with the firm's "long-standing approach" of only making available Schwab affiliate money-market mutual funds, while a Fidelity spokesperson said this is an extension of the company's policy to "generally restrict" third-party money-market mutual funds.
US treasuries dip as tariff targets seem to change
US 10-year Treasuries have traded in a fairly narrow range through March after the yield retreated from the year's high of about 4.80% in mid-January. Trump's tariff and trade-war threats sparked fears of a recession, pushing investors out of stocks and into the safety of bonds.
Chirag Doshi's bond strategy for FY26: What should investors do?
Chirag Doshi, CIO-Fixed Income at LGT Wealth India, suggests investing in medium to long-duration government bonds due to expected RBI rate cuts. He recommends a diversified portfolio with a mix of government, state development, and high-rated corporate bonds for balanced yield stability. Doshi advises flexibility to capitalize on capital appreciation opportunities presented by the current market conditions.
$2.69 trillion and counting: How India’s bond market is powering a $8T future
India aims to reach a US$7-8 trillion economy within five years, driven by its bond markets currently valued at US$2.69 trillion. Corporate bonds play a significant role, reflecting a shift towards debt-driven financing. Despite growth, India's bond market still lags behind developed economies.
Greenko, Muthoot Finance raise $1.2-billion debt overseas
Renewable energy firm Greenko Energy Holdings raised around $1 billion from investors, while Muthoot Finance raised $250 million. Greenko's bond was priced at 7.25%, tighter than the initial 7.62% target. The bond, issued under a dual Reg S and Reg S 144A structure, is backed by Greenko Wind Projects (Mauritius) and drew over $3 billion in investor interest. However, the company opted to retain $1 billion, according to two sources.
Indian bond yields steady as traders await fresh cues
Indian government bond yields remained largely unchanged in early trading on Friday as investors looked for new catalysts following this week's declines. The 10-year bond yield was at 6.6256%, with expectations of a gradual decrease towards 6.60% by the end of March, buoyed by a favorable monetary policy outlook and reduced supply due to central bank purchases.
Bank of Maharashtra to buy into RRB's tier-I bonds
The bond issue is likely to be closed before the end of March," said the first person. Bank of Maharashtra didn't reply to email seeking comments. Bonds are expected to be priced at 10.15% rate. Maharashtra Gramin Bank had last issued tier-I perpetual bonds in December 2021.
Now is a great time to invest in Indian fixed income says Saurav Ghosh. Here’s why
Saurav Ghosh, a fixed income expert, recommends investing in Indian fixed income amidst global volatility. He sees a strong opportunity in longer-duration government securities and corporate bonds, ahead of anticipated RBI rate cuts. Ghosh also notes the potential for FPI inflows if the US Federal Reserve begins a rate cut cycle.
Greenko Energy kicks off investor calls for bond sale
The 3.5-year senior secured bond is structured under the dual format of Reg S and Reg S 144A. Under this format, securities that are sold outside the US without registration with the US regulators can be resold in the US.
Muthoot Finance taps US dollar bond on ratings upgrade
The bond carries an initial price guidance of 98.625, or a 6.812% yield. Both the issuer and the bond's issue ratings were upgraded to BB+ by S&P on March 17, with a 'stable' outlook.
IOB gets board approval to raise Rs 10,000 crore via infra bonds
Indian Overseas Bank received board approval to raise Rs 10,000 crore via long-term infrastructure bonds in multiple tranches. The funds will support infrastructure and affordable housing. Several public sector banks have raised similar bonds to boost credit growth. These bonds offer cost advantages due to regulatory exemptions.
Indian bond yields flattish, traders eye state debt sale
Indian government bond yields remained mostly steady with the benchmark 10-year yield at 6.6932%. Investors' focus is on the state debt auction, with states looking to raise 521.20 billion rupees, and the Reserve Bank of India's bond purchase worth 500 billion rupees.
Canara Bank nets Rs 4,000 crore via tier-II bond issue
Canara Bank's bonds are callable at the end of five years. The base size of the bond issue was ₹1,000 crore with a greenshoe option of ₹3,000 crore.
Adani investors should push for bond buybacks: Analysts
The new facility is reportedly borrowed at a weighted life of 19 years, and now carries a funding cost of 9.2%. The loan it refinanced was taken in 2021 to develop wind-solar hybrid projects.
CARE Ratings revises outlook on ESAF Bank's bonds to negative, while reaffirms ratings
CARE Ratings has downgraded the outlook on ESAF Small Finance Bank's various tier 2 bonds instruments to "negative" from "stable" on account of high asset quality stress which has adversely impacted the bank's profitability.
Investors want India to lower long-bond supply in fiscal year 2026: Report
Indian bond market participants want the government to lower supply of ultra-long debt in the fiscal year that starts April 1, five treasury officials said on Monday.
India's Jio Finance taps debt market with debut commercial paper issue before bond sale, bankers say
India's Jio Finance, a wholly-owned unit of Jio Financial Services, has tapped the debt market with its maiden commercial paper (CP) issuance, ahead of its debut bond sale later this month, three merchant bankers said on Thursday.
India 10-year bond yield glued to key level despite easing inflation
Indian government bond yields remained steady on Thursday, with the benchmark 10-year yield at 6.6835%. While domestic retail inflation eased to 3.61% last month, the market is cautious due to global trade war concerns. Some expect the Reserve Bank of India to cut rates further, with a possible 25 basis points cut in April.
US corporate bond spreads hit widest in about 6 months on recession fears
The widening yield spreads between corporate bonds and U.S. Treasuries signal growing investor concerns over a potential recession and a global trade war.
RBI gets twice the bids for Rs 50,000-crore OMO
The discount in the auction on Wednesday was 30 paise, while the previous OMO auctions have seen discounts of 40-50 paise. The next OMO purchase is scheduled for March 18, where the liquidity deficit is expected to widen after quarterly advance tax-related outflows.
Potential investors in IndusInd International Holdings' bond issue reassess risk
Hinduja Group-led IndusInd International Holdings (IIHL) mandated Barclays and 360 One to syndicate the debt, people cited above said. The bank on Monday disclosed accounting discrepancies in its derivative transactions affecting 2.35% of its net worth, raising alarm among potential investors.
India bond traders look to RBI, inflation data for cues
Indian government bond yields remain steady as the market waits for domestic inflation data and the central bank's debt purchase. The benchmark 10-year yield is at 6.6953%. The Reserve Bank of India plans significant bond purchases, while February's retail inflation data is due, potentially easing below the RBI's target.
HDFC Bank buys back Rs 7,000 cr of high-cost bonds to lift CD ratio
The bonds were purchased in the last six months as the lender sought to meet a Reserve Bank of India (RBI) directive to lower the CD ratio, which surged to 110% after its merger with parent Housing Development Finance Corp in July 2023. The bonds were originally issued by HDFC.
Indian bond yields track US peers lower, state debt sale in focus
Indian government bond yields dipped slightly due to a sharp decline in U.S. Treasury yields, but the impact was limited due to expected heavy supply from states. The benchmark 10-year yield adjusted to 6.6960%. Treasury yields declined after President Trump's comments raised recession concerns. Indian states plan to raise 495.
Puneet Pal advises investors to brace for RBI rate cut, falling bond yields in April- Here’s what they should do?
The Indian bond market remains steady amid expectations of a potential rate cut by the RBI in April, driven by anticipated sub-4% CPI print. Puneet Pal of PGIM India Mutual Fund predicts steepening of the yield curve and a liquidity surplus in the banking system. Investors are advised to focus on Short-Term/Corporate Bond Funds.
Bond traders sound alarm as Trump’s policies stoke recession, rate cut fears
Bond traders are increasingly concerned about U.S. economic growth due to President Trump's tariff policies and federal workforce cuts. Expectations for economic expansion are fading, leading to lower two-year Treasury yields and speculation of possible Federal Reserve interest rate cuts to prevent a downturn.
Japanese investors boost bond holdings, sell foreign stocks in February
Japanese investors increased bond purchases in February due to a fall in yields overseas, but retreated from foreign equities on concerns over U.S. President Donald Trump's tariffs plans and the potential impact on global growth from trade distortions.
India bonds to react to debt supply, bond purchase, inflation data
Indian government bond yields stayed steady at the start of the week amid heavy debt supply and upcoming central bank bond purchases. States plan to raise significantly more than previously announced, while the Reserve Bank of India is set to buy bonds worth 500 billion rupees. U.S. yields rose after Federal Reserve Chair Jerome Powell's comments on interest rates.
Howard Marks backs fixed income as bonds yield 7%, private credit up to 11%
Howard Marks asserts that fixed-income investments are currently very competitive, with high-yield bonds and private credit offering higher returns compared to equities. He suggests that investors should consider rebalancing their portfolios due to changing rate environments and lower projected returns from equities.
Bond traders signal risk of recession as Trump tariffs threaten US growth
Speculation that Trump would pour stimulus onto the nation's expansion - and keep upward pressure on Treasury yields - is being rapidly swept aside less than two months into his presidency. Instead, traders have been piling into short-dated Treasuries, pulling the two-year yield down sharply since mid-February, on expectations the Federal Reserve will resume cutting interest rates as soon as May to keep the economy from deteriorating.
RBI liquidity injection and its impact on the bond market
The Reserve Bank of India (RBI) plans to inject Rs 1 lakh crore through OMOs and conduct a USD INR swap auction worth $10bn to address liquidity shortages. This strategic move aims to stabilize the economy by mitigating the liquidity crunch and balancing rupee volatility with maintaining market liquidity.
India bond yields flat before US jobs data, 10-year yield crawls up
Indian government bond yields remained mostly flat, with the 10-year bond yield rising slightly as RBI did not include it in next week's bond purchase. Investors are awaiting U.S. economic data to assess the Federal Reserve's interest rate trajectory. The RBI plans significant bond purchases and liquidity measures to maintain banking system surplus.
India bond yields seen little changed with eyes on US data
Indian government bond yields are expected to remain largely unchanged on Friday as market participants await U.S. economic data. The data may influence the Federal Reserve's interest rate decisions. Local bond yields could see an increase due to the RBI's decision on bond purchases. Broad-based movement is likely next week after the U.S. jobs data release.
RBI announces Rs 1 lakh crore bond purchases, $10 billion swap to address liquidity deficit
The Reserve Bank of India announced measures to inject ₹1 lakh crore into the banking system and conduct a dollar/rupee swap auction of $10 billion. These steps aim to address the liquidity deficit and ensure the smooth transmission of lower policy rates amid expected tax outflows.
Indian bonds consolidate as 10-year bond yield tops 6.75%
Indian government bond yields consolidated after the 10-year yield hit a six-week high, with cautious sentiment amid heavy debt supply. States sold bonds with higher cutoff yields, indicating weak demand. Traders expect states to raise around 1.35 trillion rupees by March-end, while demand for longer-duration bonds has eased due to uncertainty around RBI bond purchases.
IIFL Finance to reissue 2028 dollar bonds: Report
India's IIFL Finance plans to raise up to $150 million by reissuing its 8.75% 2028 dollar-denominated bonds, two sources aware of the matter said on Tuesday.
IMF suggests corporate bond inclusion in RBI’s crisis-related liquidity toolkit
IMF recommendations: The IMF recommended that the RBI expand its crisis-time liquidity measures by accepting corporate bonds as collateral. This move could enhance liquidity support beyond government securities, benefiting non-bank financial institutions and strengthening financial stability during periods of market distress.
Greenko eyes $1 billion offshore bond to refinance 2025 maturity
Greenko Group is working to raise $1 billion through an offshore bond sale to refinance debt maturing in May 2025. The renewable energy firm continues to expand pumped storage and integrated renewable energy projects across India. Promoters are also seeking an $825 million loan to fund a potential buyout of Orix Corp’s 20% stake.
Sebi launches centralised database portal for corporate bonds
Sebi has launched Bond Central, a centralised database portal for corporate bonds, created by the OBPP Association with support from Market Infrastructure Institutions. The portal aims to enhance transparency and informed decision-making by providing detailed risk assessments, corporate bond documents, and comparisons with Government Securities. It offers a unified view of corporate bonds, accessible free of cost to the public.
Varanasi Aurangabad NH-2 Tollway raises $316.3m in debut dollar bond
Varanasi Aurangabad NH Tollway raises $316.3 million in its debut international bond issuance with a 5.900% coupon rate. The bonds saw strong demand, attracting 144 investors and raising over $3.3 billion in orders. This marks the first time an Indian road concession has secured US dollar-denominated debt and an investment-grade rating.
India's bond forwards may see strong demand from insurers, investors say
India's soon-to-be-launched bond forwards could see strong demand from insurers as these instruments offer the option of taking delivery of underlying securities at the end of a contract, bankers and investors said on Tuesday.
HSBC eyes $1 billion in perpetual additional Tier 1 dollar bond issue: Report
The term sheet did not outline the deal size, but the source said the bank was aiming to raise $1 billion. The source could not be named discussing confidential information.
Fed officials weighed slowing or pausing bond drawdown last month
Federal Reserve officials, concerned about the impact of debt ceiling uncertainty on market liquidity, are considering slowing or pausing their balance sheet runoff. They are monitoring closely to determine an appropriate end for quantitative tightening, given potential reserve declines following debt resolution.
Hard bargaining at RBI OMO lifts yields
The RBI also conducted an overnight variable rate repo (VRR) auction for ₹2.75 lakh crore, where RBI received bids for ₹2.35 lakh crore. System liquidity stood at a deficit of ₹2.07 lakh crore on Wednesday, and has been in a daily average deficit of ₹1.28 lakh crore in February.
RBI plans Rs 75,000-crore VRR auction on Friday
Besides a ₹1.5 lakh crore liquidity boost late January, the RBI has provided support via screen based OMOs of ₹59,000 crore last month.
State-run fin companies line up Rs 20,000 cr bond issue despite rising yields
REC raised up to ₹6,000 crore through two bond issuances on Tuesday, while India Infrastructure Finance is looking to raise ₹2,000 crore via bonds maturing in March 2028. Similarly, the National Bank for Agriculture and Rural Development (Nabard) is looking to raise ₹5,000 crore on Wednesday.
Cube Highways raises Rs 860 crore from IFC via long-term NCDs
Of this, ₹2,248 crore was drawn in June 2024 to acquire six hybrid annuity model projects, while the remaining funds will be used to fund the acquisition of NAM Expressway, expected to close this quarter, according to a recent ICRA report that rated the instrument at 'AAA'.
Bond traders waver as Trump questions US government debt figures
Bond investors were unsettled by President Trump's remarks about investigating Treasury debt payments for fraud. Trump's statement hints at a potential overhaul of the federal government, possibly leading to a reduction in the national debt. However, experts believe it is unlikely to disrupt upcoming debt payments. Benchmark 10-year Treasury yields rose slightly with upcoming Treasury auctions.
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