Bond yields fell as investors pinned hopes for policy reforms as the monsoon session of Parliament begins on August 8. However, caution ahead of the release of June month’s industrial output data, too added to the upside trigger for bond yields. Shambled by weak investment at home because of policy inaction and a drop in export orders from the United States and Europe, India’s industrial output grew at a slower pace in June.
On the global front, US 10-year Treasury bonds coming off a 5-week high edged lower as demand for safe-haven US debt subsided on hopes that policymakers will act to help resolve the euro zone's debt crisis. Brent crude although dipped on Wednesday, but concerns over falling North Sea output and hopes for more stimulus measures from both sides of the Atlantic kept prices afloat above $111 per barrel.
The yields on 10-year benchmark 8.79% - 2021 edged 2 basis points lower at 8.13% from its previous close of 8.15% on Tuesday.
The benchmark five-year interest rates were trading higher by 2 basis points higher at 7.02% from its previous close of 7% on Tuesday.
The Reserve Bank of India has announced the auction of 91-day and 364-day Government of India Treasury Bills for notified amount of Rs 7,000 crore and Rs 5,000 crore respectively, to be conducted on August 08, 2012 using 'Multiple Price Auction' method.
The Government of India have announced the sale (re-issue) of four dated securities for Rs 15,000 crore on August 10, 2012, including (i) “8.07% Government Stock 2017-JUL” for a notified amount of Rs 4,000 crore (nominal) through price based auction; (ii) “8.15% Government Stock 2022” for a notified amount of Rs 6,000 crore (nominal) through price based auction; (iii) “8.97% Government Stock 2030” for a notified amount of Rs 3,000 crore (nominal) through price based auction; and (iv) “8.33% Government Stock 2036” for a notified amount of Rs 2,000 crore (nominal) through price based auction. The auctions to be conducted using uniform price method will be held on August 10, 2012 (Friday).
Start Research-backed Investing ...Now. Subscribe to Sapphire
MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.
To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.
MoneyWorks4Me ensures this through: