• On Friday, the 10-year benchmark government bond (6.48% GS 2035) opened 2bps lower at 7.09% tracking the overnight fall in Brent crude oil futures and US Treasury yield. • The sentiments got further boost after a news report, cited sources, that the Reserve Bank of India's Monetary Policy Committee is not considering an off-cycle hike in the repo rate. • However, gains reversed after the RBI’s surplus transfer came at INR 2.87 trln, lower than market expectations of INR 3.4 trln. • The weekly auction cut-off worth INR 320 Bln came mixed with 6.03% GS 2029 at 6.7310%, 6.68% GS 2033 at 7.0701%, and 7.24% GS 2055 at 7.6860%. • The 10Y point closed 2 bps lower at 7.09% vs 7.11%.
