Macro and Government Bond Commentary: Yields rise despite softer India headline inflation • The 10Y benchmark (6.33 GS 2035) opened little changed at 6.29% despite a rise in treasury yields overnight. Yields edged higher in the morning session and were ranged through the afternoon. The Jun CPI inflation came in at 2.1% vs 2.3% expected – aided by a favorable base around food inflation. However, the core inflation edged higher to 4.55% - largely on account of a sharper rise in gold prices. The 10Y point closed trade at 6.32% vs 6.29% prev.
