The Reserve Bank of India has eased its hawkish monetary policy stance, suggesting potential interest rate cuts in the future. This policy shift led to an increase in both Indian government bonds and the stock market.
The central bank has moved its policy stance to neutral, which influenced the 10-year Indian government bond yield to drop by 7 basis points, reaching 6.74%. This marks the largest decline since early February.
Indian equities also experienced gains, with the NSE Nifty 50 index rising by 0.6%, closing at 25,160.80 points.
