MUMBAI: Indian federal bond yields eased on Wednesday following a sharp fall in US Treasury yields and global oil prices, with concerns on domestic growth also supporting the demand for debt.
* At 9:33 a.m., the 10-year Indian benchmark bond yield was at 8.40 per cent, down 3 basis points on the day.
* US Treasury futures rose slightly in electronic trade after Moody's Investors Service confirmed its Aaa rating of the United States.
* US crude fell to near a five-week low on Wednesday on concerns that demand may fall as the world's top oil user faces longer-term fiscal and economic challenges.
* With global economic recovery still shaky, the Indian bond market expects steady demand for debt on signs of slowing domestic growth with July factory expansion the weakest in 20 months and a government panel cutting its growth forecasts.
