Yields end the day lower • The 10-year benchmark government bond (6.33% GS 2035) opened 2bps lower at 6.50% tracking the overnight fall in US Treasury yields. • Over the day, IGB 10Y bond yield stayed afloat on profit-booking after the weekly gilt auction cut-off yield witnessed a tad tail. RBI offered 6.48% GS 2035 at 6.4817% for ~$3.61 Bn (INR 320 Bn). • Meanwhile, Indian rupee ended flat at 88.66/$ tracking subdued dollar index. • The 10Y point closed 1bp lower at 6.51% vs 6.52%. • The latest banking system liquidity stands in surplus of ~INR 2323 Bn.
