Business · Markets · 3 hrs ago
Indian bond yields fall as oil prices ease
India’s benchmark 10-year government bond yield fell on Monday, closing at 7.15%, down from 7.19% on Friday.
Brent crude fell to $95.16 a barrel from $97.18, helping ease pressure on bond markets.
Dealers linked the oil-price drop to easing geopolitical concerns and reports that Iran no longer intended to charge a toll.
The yield had already fallen 23 basis points last week, its sharpest weekly decline in nearly seven years, after US midterm election results revived hopes of a resolution to the US-Iran war.
Cheaper oil could give the Reserve Bank of India room to hold rates steady at its next Monetary Policy Committee meeting, scheduled for December 2–4.
Expectations have shifted from a possible 50-basis-point rate hike towards either a smaller hike or no change.
The rupee weakened against the dollar on Monday, ending a five-day run of gains.
India’s benchmark 10-year government bond yield fell nearly 4 basis points on Monday to close at 7.15 per cent.
Dealers attributed the decline to lower crude oil prices and easing geopolitical concerns.
Brent spot prices fell to $95.16 per barrel from $97.18 per barrel.
The oil-price decline raised the possibility that the Reserve Bank of India’s Monetary Policy Committee would leave rates unchanged at its next meeting.
The rupee weakened marginally against the dollar, according to the article.
- Who
- Indian government bond investors and market dealers.
- What
- The benchmark 10-year government bond yield fell nearly 4 basis points, closing at 7.15 per cent.
- When
- Monday, November 9, 2026.
- Where
- India’s bond market.
- Why
- Dealers cited lower crude oil prices and easing geopolitical concerns.
This story does not have two clearly opposing sides.
The benchmark yield declined 23 basis points, its sharpest weekly drop in nearly seven years, after Democrats won the US midterm elections.
The benchmark 10-year government bond yield fell nearly 4 basis points to close at 7.15 per cent.
The Reserve Bank of India’s Monetary Policy Committee is scheduled to hold its next meeting.
- 10-year government bond yield
- Closed at 7.15 per cent, down from 7.19 per cent on Friday
- Yield change on Monday
- Nearly 4 basis points lower
- Brent spot price
- $95.16 per barrel, down from $97.18
- Next RBI Monetary Policy Committee meeting
- December 2–4, 2026
What people are saying
The rally was primarily driven by a $2 decline in Brent crude following reports that Iran no longer intended to charge a toll, alongside easing geopolitical concerns and a reduction in the war-related risk premium.
December policy expectations have shifted from a 50-bps rate hike to a possible 25-bps or status quo. Overall, easing oil prices, geopolitical risk premiums and monetary policy expectations are gradually shifting market sentiment towards the long side.
The Indian rupee registered a technical retracement, snapping a five-day winning streak amid state-run bank dollar buying ahead of a market holiday. The intraday correction followed morning gains catalysed by a soft dollar index, resilient foreign institutional inflows, and weaker crude oil pricing.