A sharp fall in yields may be arrested due to caution before the Reserve Bank of India's policy review on March 15, where it is likely to keep interest rates unchanged.

The 10-year benchmark bond yield is seen opening at 8.21 percent and moving in a band of 8.20 percent to 8.25 percent in the session, dealers said. It closed at 8.23 percent on Tuesday, unchanged from Monday's close.

Oil, global equities and the euro came under pressure from worries about a global growth slowdown and uncertainty over whether enough investors would participate in a Greek debt restructuring to enable it to avert a default.