Yields Swing Southward, Gilts Calm, Reserves Rear Up

Yields on gilts ended last week about 30 basis points lower as the uncertainty pertaining to the Gulf War ended with the US launching its assault on Iraq on Thursday.

Yields on corporate bonds, which witnessed lacklustre trading on the first two trading sessions, came off by as much as 35 basis points. The yield on the benchmark 9.81 per cent 10-year gilt closed last week 29 basis points lower at 6.21 per cent as against last Monday