New Delhi, Sept. 14 -- When the yield on India's 10-year sovereign bonds rises to 7.3-7.5%, the risk-reward ratio for Indian equities would begin to deteriorate, said Jignesh Desai, chief executive officer, institutional equities, Centrum Broking. A risk premium on crude fades once tensions cool, and a blocked Strait of Hormuz does not remove the risk premium, he said, explaining why crude oil prices remain at $95 per barrel. The central bank's policy signals, the state of rabi sowing, and September quarter earnings could be key triggers in the coming months, Desai said in an interview. Edited excerpts:

The Nifty has not made a new high since early January and is roughly 10% below that level. On the surface, that looks like weak sentimen...