MUMBAI: Indian government bond yields are expected to climb on Thursday to their highest levels in nearly four months, as traders brace for heavy supplies next week.
After the market closed on Wednesday, the government said it would sell 180 billion rupees ($3.54 billion) of bonds on April 3, an all-time high amount for a single week.
The market will be open for trading only on two days next week due to closing of bank accounts and local holidays.
The 10-year benchmark bond yield is expected to open around 8.63 percent and rise past 8.64 percent, a level not seen since Dec. 5.
The yield jumped 12 basis points on Wednesday to 8.62 percent after the government unveiled a massive $3.7 trillion ($72.83 billion) borrowing schedule for the fiscal first half beginning April.
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