New Delhi, April 16 -- Despite sharp volatility in March, domestic bond yields are expected to ease in the near term, supported by stable monetary policy and improving market conditions, according to a report by CRISIL released here on Thursday.
The report said the yield on the 10-year benchmark government security, which rose to 7.02 per cent at the end of March, is likely to soften to 6.85 - 6.95 per cent by April-end and remain broadly steady in the following months.
March saw significant turbulence in the debt market, with yields rising across segments due to a spike in crude oil prices, firm US Treasury yields, geopolitical tensions in West Asia and pressure on the rupee. The surge in global oil prices, triggered by escalating tensio...