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Yields Fall Ahead Of Operation Twist

INDIA

Yields are lower across the curve after rising yesterday, some bull steepening seen. The buying comes ahead of operation twist due from the RBI tomorrow where it will purchase INR 100bn of long end bonds and sell INR 100bn of short dated bonds.

  • Details: RBI to buy 5.22% 2025, 6.45% 2029 and 6.57% 2033 bond, will sell 8.79% 2021 and 8.20% 2022 bond
  • Markets await a CNBC-TV18 interview with RBI governor Das with focus on comments related to the bond market. In the minutes of the RBI's latest meeting released after market on Monday showed the bank remains committed to ensure the availability of ample liquidity in the system to foster congenial financial conditions for the recovery to gain traction.

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