• On Thursday, the 10-year benchmark government bond (6.94% GS 2036) opened 1 bp lower at 6.77% tracking overnight fall in 10Y USTs. • The 10Y UST yield eased to around 4.55% from 4.60% following softer-than-expected PPI data. • IGB yields further eased to 6.74% on hopes of Indian bond’s inclusion in Bloomberg Global Aggregate Index. • The latest banking system liquidity stayed in surplus of ~INR 1.3 Tn. • The 10Y point closed 3 bps lower at 6.75% vs 6.78%.
