MUMBAI - Indian shares and the rupee rose on Wednesday while bond yields fell after the Reserve Bank of India took a cautious tone on growth and inflation in its monetary policy statement.
The 10-year benchmark bond yield fell to 7.54 percent from about 7.60 percent before the statement. It had ended at 7.57 percent on Tuesday.
The rupee rose briefly before trimming gains and was trading at 64.13 to the dollar. It had ended at 64.25 on Tuesday.
The broader NSE Nifty rose briefly after the policy announcement and was little changed by 0920 GMT.
As expected, the RBI kept its main repo rate steady at 6.00 percent for a third straight policy meeting and retained its "neutral" stance, seeking to support a slowing economy even as inflation has accelerated to a 17-month high.