Indian Bonds Steady After RBI Debt Switch, US Yields Aid Stability

• Indian bonds opened steady on February 18 following the Reserve Bank of India's (RBI) second debt switch announcement.
• A tepid US Treasury yield also contributed to the positive market sentiment.
• The benchmark Indian bond yield was trading at 6.6668%, after closing at 6.6600% on Tuesday.
• RBI's debt switch on February 17 involves buying back Rs 25,000 crore worth of government securities, easing supply concerns.
• This move could reduce the gross borrowing for the next fiscal year to Rs 16.2 lakh crore and has helped cool off yields that previously rose due to demand-supply mismatch.