Prices could move further down, he said. People are making room for investments at the auction. Also, the gains in recent days have been good. Traders are going to take profits.
The yield on the benchmark 8.07% note due January 2017 rose 1 basis point, or 0.01 percentage point, to 8.1% in Mumbai, according to RBIs trading system. The price fell 4 paise per Rs 100 face value, to 99.77. The government will sell treasury bills worth Rs 40 billion on Wednesday. It will auction 8-year and 15-year bonds worth a total of Rs 80 billion on May 25, as part of its Rs 1.55 trillion borrowing program for the fiscal year that began April 1.