Livemint,Mumbai, March 1 -- Bond yields, geopolitical tensions and news around the US stimulus programme are expected to keep Indian stocks volatile, even as the economy makes an uneven recovery from the pits of a recession.

On Friday, Indian shares plunged nearly 4%, their sharpest drop in 10 months, as a spike in US government bond yields walloped stocks worldwide.

After two quarters of contraction, India's real GDP grew 0.4% in the December quarter, but analysts said the lower-than-expected nominal GDP growth has heightened the threat of a sovereign downgrade. Weak GDP growth in a quarter of strong corporate earnings, goods and services tax (GST) collections and high-frequency indicators data also indicate that the informal sector is...