• The G-Sec curve saw steepening with mixed movement seen across the curve. • On the US front, Q4 GDP came in at an annualized 1.4%, missing the 3.0% consensus and sharply decelerating from Q3's 4.4% expansion. The US Supreme Court handed down its decision, stating that the International Emergency Economic Powers Act (IEEPA) does not authorize President Trump to impose tariffs. However, Later, President Trump shredded Supreme Court ruling and signed sweeping 15% global tariffs on imports from all countries. The UST 10Y hovered around 4.08 levels. • On the domestic front, the merchandise trade deficit widened to $ 34.68 bn from $25 bn in December. Unemployment rate rose to 5% in Jan from 4.8% in dec. Also, the short selling was witnessed amid rising tensions between US-Iran and a jump in crude oil price. The RBI minutes showed that favourable growth-inflation mix let MPC panel keep rates steady. Also, members gave little forward guidance beyond saying it would remain data-dependent going ahead.10Y IGB ended the week 2 bps higher at 6.70%.
