Yields end the day higher • On Thursday, the 10-year benchmark government bond (6.33% GS 2035) opened steady at 6.48%, exhibiting a positive bias following the release of the RBI MPC minutes on Wednesday after market hours. • The minutes boosted market sentiment, fueling expectations of a further rate cut by the RBI. Subsequently, the 10-year yields edged up to 6.50%, influenced by likely profit booking from some market participants ahead of tomorrow’s weekly bond auction. • The 10Y point ended 2 bps up at 6.50% vs 6.48% • The latest banking system liquidity stands in surplus of ~INR 1301 Bn.
