SNAPSHOT-India stocks, rupee, swaps, call at 3:30 p.m. IST

BY Reuters | ECONOMIC | 09/20/24 06:02 AM EDT

MUMBAI, Sept 20 (Reuters) - STOCKS: The benchmark BSE Sensex was up 0.1% to 84005, while the broader NSE index also advanced 1.5% to 25805, with both the indices hitting record highs, as an outsized interest rate reduction by the U.S. Federal Reserve and the anticipation of a soft landing boosted risk appetite.

RUPEE: The Indian rupee rose 0.1% versus the U.S. dollar to 83.56, helped by a rally in its Asian peers and likely portfolio inflows after the U.S. Federal Reserve kicked off its anticipated interest rate cutting cycle earlier in the week. GOVERNMENT BONDS: The benchmark 10-year bond was quoted at 102.34 rupees, with the yield up 1 bps at 6.76% on profit booking.

OVERNIGHT INDEX SWAPS: The one-year overnight index swap rate was flat at 6.39%, while the five-year swap rate declined 1 bp to 5.98%.

CALL MONEY: India's overnight call money rate was at 6.20% and the overnight TREPS rate was at 6.90%. (Reporting by Bhakti Tambe)

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

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