India bonds tumble after RBI's first rate hike in nearly four years

In a bid to combat inflation, the Reserve Bank of India has increased the key interest rate to 5.5%. This decision has led to a notable dip in Indian government bonds in the market. Factors such as climbing global oil prices are further complicating the economic landscape. While the 10-year bond yield remains high, forecasts suggest that interest rates may continue to rise this fiscal year.