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Traders Snap Up Record Options on BlackRock Fixed-Income ETFs

· Business · Bloomberg, LiveMint

Traders are buying options linked to fixed-income ETFs at an unprecedented pace as yields on 10-year and 30-year Treasuries reach their highest levels in two decades. The surge positions portfolios amid the highest yield environment since 2007, according to market data. BlackRock's iShares suite of bond ETFs has become the primary vehicle for this repositioning activity. Volume metrics indicate a significant shift in how traders are accessing rate-sensitive instruments.

Why it matters

Higher yields on Treasury bonds directly impact Indian debt markets, borrowing costs for the government, and rupee-denominated investment returns for domestic portfolios. The movement in BlackRock ETFs signals global investor sentiment that ripple-feeds into India's corporate bond and gilt markets.

Read the original report — Bloomberg

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