MUMBAI - Indian stocks and bonds weakened on Thursday, while the rupee plumbed record lows as global oil prices rose, heightening speculation that the Reserve Bank of India (RBI) may hike interest rates on Friday more aggressively than earlier expected.
The partially convertible rupee hit a life low of 73.82 per dollar before recovering slightly to 73.74/75 by 0545 GMT. It had closed at 73.3350 on Wednesday.
One forex dealer at a foreign bank, who asked not to be named, said early intervention by the central bank stopped the rupee from hitting 74 per dollar.
The benchmark 10-year bond yield was 9 basis points higher at 8.20 percent, not far from 8.23 percent hit in late September, which was the highest since November 2014. The broader NSE index was down 1.68 percent at 10,677.70 as of 0545 GMT, hitting its lowest level since July 3.