Friday, 7 June 2013

Fixed Income Articles General - FII’s Will Not Pull Money Out of the Indian Debt Market

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 7th June 2013
Fixed Income Articles General

Hi Promofree

 

FII’s Will Not Pull Money Out of the Indian Debt Market

FII’s selling government bonds and corporate bonds is a short term reaction to expectations of the US Federal Reserve (Fed) removing monetary stimulus. The discontinuation of bond purchases by the Fed can lead to USD Strengthening and rising USD funding costs that is negative for an FII holding Indian Rupee (INR) bonds.

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Arjun Parthasarathy

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