Mumbai, Oct. 26 -- The surge in US Treasury yields, with the 10-year touching 5.37% earlier this month, its highest since 2002, is opening another avenue for Indian investors to access the world's largest economy. With the rupee weakening and the gap between US and Indian bond yields narrowing, experts advise considering US debt to diversify fixed-income portfolios.

Global bond yields have been rising amid a surge in crude oil and other commodity prices, driven by the West Asia war. That is stoking inflation concerns and prompting a shift towards tighter monetary policy. The gap between 10-year US and Indian government bond yields has narrowed to around 2 percentage points. The shrinking differential is adding to the appeal of dollar-den...