• The 10-year benchmark government bond (6.48% GS 2035) opened flat at 6.67%. • Over the day, the 10Y point dropped on speculated RBI intervention through ‘on screen’ OMO purchases amid short covering by traders. • Meanwhile, Indian rupee ended higher at 91.60/$ vs 92.15/$ on RBI’s active presence to limit the fall in local unit on the back of geopolitical uncertainty. • The 10Y point ended 3bp lower at 6.64% vs 6.67%. The focus is on tomorrow’s weekly bond auction of INR 290 Bln. • The latest banking system liquidity stayed in surplus of ~INR 2674.59 Bn.
