S. Treasury yields climbed to near three-year highs and surging oil prices rekindled inflation fears.

S. 81%, its highest level since ‌November 2023.

⁠The ⁠5% mark is a threshold traders say could further unnerve global markets. Globally, bonds extended losses, driving borrowing costs to multi-decade highs, as conflict in the Middle East lifted energy prices.

Brent crude futures climbed to a six-week high of $95 per barrel in Asian trade. S.

Treasury yields approached three-year peaks. The surge in oil prices reignited inflation concerns, particularly impacting India due to its status as a major importer.

This scenario intensified expectations for monetary policy adjustments by the RBI. S.

FOMC meeting and fluctuations in oil prices. As the world's third-largest oil importer and consumer, India is highly vulnerable to oil price swings.

9754% on Wednesday. It briefly probed the ⁠7% mark at open before dip-buying trimmed the sell-off.

Traders, however, remained reluctant to buy and hold, with the 10-year yield having climbed about 13 basis points over five sessions. The crude rally, coupled with the upswing in global yields, has also hardened bets on domestic monetary policy tightening.

80% ‌last week. Overnight indexed swap rates now imply 75 basis points of RBI rate hikes over the next 12 months."

S. FOMC meeting, ⁠the Government's second-half borrowing programme, developments around crude oil prices and food inflation will be the key factors to watch," said Murthy Nagarajan, fixed income head at Tata Asset Management.

RATESIndia's OIS rates split direction as traders weighed the scope of a shallow rate-hike cycle. 22%.

53%.