MUMBAI, Jan 17 (Reuters) - India's benchmark 10-year bonds
and the rupee rose on Thursday after the country's oil minister
said the government would allow oil marketing companies to set
diesel prices, in what markets interpreted as a partial
deregulation of prices.
The 10-year yield fell 3 basis points to
7.85 percent from levels before Oil Minister Veerappa Moily's
The rupee rose as much as 54.49 to the dollar from
around 54.63/64 previously.
In stock markets, Hindustan Petroleum Corp surged
6.2 percent while Oil and Natural Gas Corp gained 4.5
(Reporting by Subhadip Sircar & Swati Bhat; Editing by Rafael