Yields end the day lower • The 10-year benchmark government bond (6.33% GS 2035) opened steady at 6.57%. • Over the day, IGB 10Y bond yield touched the high of 6.59% before the IGB weekly auction cutoff. The IGB auction witnessed mixed demand as two out of the four bonds were of longer duration. • RBI offered 5.91% GS 2028 at 5.8404% for INR 90 Bn), 7.24% GS 2055 at 7.2412% for INR 70 Bn and 6.98% GOI SGrB 2054 at 7.1876% for INR 50 Bn. However, RBI rejected bids for 6.28% GS 2032 paper due to tail bids. The 10Y bond yield eased 4-5bps post auction cutoff results. • Meanwhile, Indian rupee ended lower at 88.77/$, tracking the strength in dollar amid hawkish FOMC policy. • The 10Y point closed 4 bps lower at 6.53% vs 6.57%.
