Macro and Government Bond Commentary: Yields close slightly lower with global benchmarks, liquidity deficit widens after GST outflows • The 10Y benchmark (6.79 GS 2034) opened lower at 6.69% tracking a sharp fall in treasury yields overnight (following weaker than expected US S&P global composite PMI) as well as on RBI measures to inject durable liquidity (USD/INR buy-sell swap auction of 10bn). The MPC minutes were mostly along the lines of policy statement, with members confident on inflation trajectory, but still cautious on global uncertainty (limiting the need to change policy stance or cut rates more aggressively). Yields were ranged in the morning session, though some profit booking was seen early in the afternoon. The 10Y point closed trade at 6.70% vs 6.71% prev
