India corp bond yields steady on lack of auction

MUMBAI, Nov 24 (Reuters) - Indian corporate bond yields were steady at near three-and-a-half-month lows, tracking government bond yields, as the absence of a federal bond auction and ample cash in the banking system supported appetite for debt.

The yield on the Reuters benchmark five-year corporate bond AAAIN5Y= ended at 8.13 percent on Tuesday, steady from Monday's close. Last week the yield had hit 8.07 percent, which was the lowest since July 30.

The spread between the five-year corporate and government bonds was also little moved at 85.50 basis points versus 85.55 basis points on Monday.

The yield on the 10-year benchmark bond IN069019G=CC ended at 7.21 percent, slightly below Monday's closing of 7.22 percent. [IN/]

Fullerton India Credit Co's 13.75 percent bond maturing May 2010 IN137510FT=IN was the most traded, with volumes of 2.5 billion rupees on the NSE.

Total volume traded on Tuesday was 21.83 billion rupees, higher than Monday's 15.40 billion rupees, Thomson Reuters data showed.

This data is sourced from the Bombay Stock Exchange, National Stock Exchange and Fixed Income Money Market and Derivatives Association of India (FIMMDA). (Reporting by Jeanette Rodrigues; Editing by Prem Udayabhanu) ((jeanette.rodrigues@thomsonreuters.com; Tel: +91 22 6636 9037; Reuters Messaging: jeanette.rodrigues.thomsonreuters.com@reuters.net)) ((If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com))

For news on debt issues, Reuters 3000 Xtra users can double click on one of the following:

Indian bond issuances [IN-DBT-ISU-LEN-RTRS]