G-sec Market: The 10-year G-sec 6.90% GOI 2019 opened at a yield of 6.84%, slightly higher than previous closing levels of 6.83%.
The yields hardened tracking market expectations of announcement of new Calendar for the Government Borrowing Program. The reported comments from Finance Ministry in the morning indicated that Borrowing Program would be non-disruptive and focus on short tenors. The US Treasury yields hardened impacting the market sentiment.
The markets would look forward to cut-offs in T-Bill auctions. The benchmark 10-year US Treasury hardened from 3.38% to 3.50%. The 10-year G-sec 6.90% GOI 2019 2014 is likely to trade in the range of 6.75%- 6.85%.
Money Market: The Call rate and CBLO rate opened at 3.25% and 2.99% respectively. The money market rates are expected to remain soft tracking comfortable liquidity position.
Swap Market: The 5Y OIS swap rate traded in the range of 6.15% - 6.20%, compared to previous closing levels of 6.15%. The OIS swap rates are expected to trade rangebound tracking movement in G-sec yields.
Forex Market: The INR opened at Rs48.82 against the USD compared to previous closing level of Rs 48.96. Rupee is expected to trade in the range of 48.60 – 49.00.