India rate cut fuels bond rally but 10-year ends steady

The Reserve Bank of India cut its key repo rate by 25 basis points and introduced liquidity measures, including open market operations and forex swaps, to support the economy. This led to a bond rally, although the 10-year benchmark note ended flat due to profit-taking. The policy is seen as dovish and supportive, with expectations of further easing. Yields on longer-term bonds declined, and swap rates eased following the announcement.