Macro and Government Bond Commentary: Yields closed higher • The 10-year benchmark government bond (6.33% GS 2035) opened flat at 6.52% ahead of the weekly IGB auction. • Over the day, 10Y bond yields eased as results of the INR 280 Bn weekly gilt auction showed firm appetite from long-term investors for fresh bond supply. • RBI offered 6.68% GS 2040 at 6.8219% for INR 160 Bn and 6.90% GS 2065 at 7.1650% for INR 120 Bn. The 40-year benchmark cut-off came better than estimated.
