India’s 10-year G-Sec (government security) yield rose to around 7%, its highest level in more than three months, as a global bond selloff intensified. Brent crude climbed above $100 a barrel to around $108 as Middle East tensions disrupted energy supplies and shipping through the Strait of Hormuz and Red Sea, raising inflation concerns for India. US Treasury yields also rose after stronger producer price inflation increased expectations of a Federal Reserve rate hike next week, with markets pricing a 72% chance of a 25-basis-point increase and the 10-year yield nearing 5%. German and Japanese 10-year yields reached multi-year highs, while Indian bonds faced additional pressure from expectations that the RBI (Reserve Bank of India) would withdraw liquidity as banking system liquidity exceeded INR 10 trillion.