India’s bond market remained largely unresponsive to the Reserve Bank of India’s recent rate cut, keeping yields high and forcing public sector issuers to delay fundraisings.
Indian Railway Finance Corporation (IRFC) became the third PSU in a week to withdraw a bond issue due to weak investor appetite at expected pricing.
Earlier, Power Finance Corporation and SIDBI also shelved sales as bids came in higher than anticipated. Analysts say stress across the yield curve, global uncertainty, and subdued foreign inflows, rather than RBI easing, are driving the cautious market response.