• On Friday, the 10-year benchmark government bond (6.96% GS 2036) opened flat at 6.72% ahead of the weekly bond auction. • Over the day, 10Y bond yield hardened on profit-booking amid overnight rise in prices of Brent crude oil prices. • The cut-off at the weekly IGB auction came broadly in line with expectations, with 6.94% GS 2036 at 6.7275% • Indian rupee ended higher as dollar weakened after weaker-than-expected US non-farm payroll data as it lowered market expectations of a near-term Federal Reserve interest rate hike. INR ended at 95.21/$ vs 95.39/$. • The latest banking system liquidity stands in surplus of ~INR 994.72 Bn. The 10Y point closed flat at 6.71%.
