Safe Havens Supported

Yields generally lower as safe havens see a bid on the fallout from Turkish President Erdogan removing the central bank governor.

• INDIA: Yields lower across the curve, after spiking higher on Friday. The auctions on Friday saw a negative yield quoted for the first time ever after a bank placed an incorrect price due to human error. Overall though, the auctions were decent and the RBI increased sales amounts. Bonds further supported today after the regulator said it would ease proposed rules on perpetual notes of domestic banks.
• SOUTH KOREA: Futures gained in South Korea as the treasury curve bull flattened, broad risk aversion helping to benefit the space. 10-year futures up some 47 ticks. Markets await the 20-year bond auction tomorrow. There are also plans to issue KRW 600bn 2-,3-,30-year bonds through non-comp auctions in order to combat yield curve inversion.
• CHINA: Futures are higher in China, while repo rates have risen but are within recent ranges. The PBOC kept LPR rates unchanged as expected, the bank matched liquidity maturities with injections, meaning this is the tenth straight day without injections.
• INDONESIA: Yields mixed across the curve, with steepening the general theme. The government will increase the current containment measures to five provinces to slow number of positive cases and deaths