The G-Sec curve saw a flattening with an upward movement seen across tenors. On the US front, as widely anticipated, the FOMC cut rates by 25 bps, bringing the federal funds rate to 3.50–3.75% from 3.75–4.00%. 9 of the 12 voting members supported the 25-bps cut, while one member preferred a 50-bps reduction and two members voted to keep rates unchanged. The dot plot with the median projection indicating only one additional 25bps rate cut in 2026. The US 10Y hovered around 4.15% levels after the outcome.
