Yields end the 2bps lower • The 10-year benchmark government bond (6.33% GS 2035) opened steady at 6.51% on Monday. • Over the day, IGB 10Y bond yield eased on value-buying ahead of tomorrow’s SDL auction where the states would raise less than indicated in the calendar and this week’s India’s CPI inflation data. • The SDL auction is due tomorrow where 9 states will borrow 165.60 Bln which is lower than the indicated amount of 214 Bln. • The 10Y point closed 2bps lower at 6.49% vs 6.51%. • The latest banking system liquidity stands in surplus of ~INR 2409.61 Bn.
