28 Oct 2024

G-Sec Yields Steady, Oil Prices Ease and Global Economic Concerns Rise Amid Geopolitical Tensions

author dp
Team INRBonds
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Weekly Market Highlights:

  1. The 10-year 2034 G-sec yield closed at 6.80% this week vs 6.77% last week.
  2. 3M and 6M T-bill auction data yields were stable at 6.48% and 6.60% respectively.
  3. At an event on Friday, the RBI Governor said inflation might moderate in Q4 but global conflicts pose risks.
  4. The INR Bonds high yield Index stood at 9.86% down 5 bps fortnightly.
  5. Oil prices eased this week owing to ceasefire talks in the Middle-East.
  6. The Euro fell this week as the Eurozone economy slowed slightly in October with the PMI missed expectations.
  7. 10Y UST soared to 4.24% this week on uncertainty about the US Presidential Elections as the Fiscal Policy depends heavily on the party that controls Congress.

Market Data

Particulars

18/10/2024

11/10/2024

Change

10 Yr Benchmark Gsec (%)

6.77%

6.72%

5 bps

Banking Liquidity (in Rs Billion)

175.2

180.2

-2.77%

5 Yr OIS (%)

6.23%

6.16%

6 bps

1 Yr OIS (%)

6.53%

6.43%

10 bps

INRBonds Retail High Yield Index

9.86%

9.91%

-5 bps

Nifty

24,854

25,023

-0.68%

10 Yr SDL

7.07%

7.01%

6 bps

91 Day T-Bill (%)

6.45%

6.43%

2 bps

182 Day T-Bill (%)

6.55%

6.54%

0.93 bps

10 Yr US Treasury Yield (%)

4.08%

4.10%

-2 bps

US Junk Bond Yield (%)

6.81%

6.95%

-14 bps

Brent Crude Oil (In USD per Barrel)

73.16

78.15

-6.39%

Primary & Secondary Corporate Bonds Data

Top 5 Secondary Retail Trades

Maturity

Yield

-

11.95% Namra Finance Limited

25/5/2026

11.90%

9.90% Incred Financial Services Limited

21/8/2026

10.45%

10.30% Indostar Capital Finance Limited

25/9/2027

10.71%

9.50% Hinduja Leyland Finance Limited

29/11/2029

9.82%

10.90% Earlysalary Services Private Limited

27/3/2026

12.00%

Currency Market Data

Particulars

18/10/2024

11/10/2024

Change

USD/INR

84.065

84.074

-0.01%

DXY

103.49

103.02

0.46%

USD/ Brazil Real

5.55

5.48

1.28%

EUR/ USD

1.0866

1.0976

-1.00%

USD/CNY

7.105

7.0746

0.43%

USD/JPY

149.52

149.31

0.14%

USD/ Russian Ruble

96.7

96.2885

0.43%