Anjali Kumari
Anjali Kumari
Banking system liquidity went in surplus mode on Thursday after being in deficit for three days
There are signs of improvement in the liquidity scenario as banks parked Rs 25, 833 crore with the RBI on Thursday
The yield on the benchmark 10-year bond closed at 7.20 per cent on Friday
The local currency depreciated by 0.31 per cent in the last week, hitting an all-time low closing level of 83.15 against the dollar on August 17
The benchmark 10-year government bond yield settled at 7.20 per cent, while the new 10-year bond yield settled at 7.18 per cent
Market now eyes the US Federal Reserve Chairman Jerome Powell's speech in Jackson Hole Symposium on Friday
Reserve Bank of India set the cut-off yield on the 91-day, and 364-day T-bills at 6.86 per cent, and 7.05 per cent respectively
Liquidity in system went into deficit mode on Tuesday for the first time in this Financial Year
The local currency had hit the all-time low closing level of 83.15 per US dollar on Thursday on the back of rise in US Treasury yields
"Will guard against second round effect of price rise"
RBI governor had emphasised that the I-CRR move was temporary and that the central bank will ensure adequate liquidity in the system to fund the credit needs of the economy
The yield on the one-year and two-year government bonds has edged up 8 basis points and 4 basis points respectively since August 10
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Rise by $708 mn to $602 bn in the week ended Aug 11
The cut-off at the auction was better than expected, which weighed on the yields in the secondary market by the end of the trade
Local currency settles at 83.15 vs dollar; India 10-yr bond yields rise to 4-month high
The RBI's net outstanding forward purchase by the end of June stood at $19.47 billion, slightly higher than the previous month's figure of $19.27 billion
Typically, a new bond becomes a benchmark after it becomes the most traded one in the secondary market
Experts believe that yield on benchmark 10-year bond might remain at 7.20-7.25%
Breaches 83/$ intraday; RBI intervention cap losses