In theory yes, but liquid funds invest in short term debt instruments.
All debt instruments are priced/traded by bond yields of that respective period.
Recently, they've shot up like crazy, which leads to less interest rate gain.
These instruments are traded daily on the debt mkt and therefore are also a bit volatile.
SB rate/FD rate on the other hand are guaranteed returns and therefore are consistent but the nature of both becomes quite different.
You might see crude futures traders here also watching usd/inr rate. So if global crude price dropped but less than what inr depreciated, net result would be local crude futures price would actually go higher. Funny analogy
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