Bond market about to recover

NEW DELHI: The bonds seem to recover after the Budget projects fiscal deficits in line with expectations, with no more market loans during the current fiscal year.

The players said the revised deficit target of 3.8% for the current tax and 3.5% for the next one was largely in line with expectations.

The market expected additional loans, that has not come. The limits of the foreign portfolio have been opened in some bonds, which could lead to them being included in the global indexes, ”said A Prasanna, head, fixed income at the ICICI-Sec primary dealership.