Movement in yields – Phases of sustained yield rise G-Sec yields in India have undergone episodic phases of sustained rise of close to 200 bps at regular intervals. Chart 6 identifies three major phases for the 10-year benchmark yield over the past 15 years: 1.
Phase I – second half of 2004 when interest rate cycle turned up from 5.00% to over 7.00%, following a prolonged rally; 2. Phase II – post the global financial crisis when yields rose from around 5.25% in December 2008 to around 8.80% by November 2011; and, 3.