Dalal Street faces a double whammy of Fed rate hike, soaring bond yields. Are Sensex and Nifty heading for a bigger crash?

While soaring bond yields continue to spook investors, the US Federal Reserve’s expected rate hike today could add to the worries. However, analysts advise patience and calm amid the market turbulence.The benchmark 10-year US Treasury yield crossed the crucial 5% mark this week for the first time since 2023. The sharp rise in bond yields came as traders increasingly expect the Federal Reserve to keep interest rates higher for longer, after soaring oil prices revived fears of renewed inflationary pressures.The Federal Reserve is all set to announce the outcome of its FOMC meeting today. The American central bank will likely raise its interest rate, and deliver at least one more hike by the end of March, according to a majority of economists polled by Reuters.