India pumps in liquidity; bonds see profit-taking after initial rally
On Monday, The Reserve Bank of India (RBI) said it would pump 360 billion Indian rupees ($4.95 billion) into money markets in October, pledging to buy back government bonds as part of a bid to quell fears of a credit crunch cascading through the economy.
The RBI said its latest steps followed an assessment of "durable liquidity" needs and the seasonal growth in currency in circulation ahead of upcoming holidays in India. Image Source: Reuters