Indian cbank sells 2018 federal bonds at 9.08 pct

MUMBAI, July 24 (Reuters) - The Reserve Bank of India said on THursday it set a cut-off price of 94.63 rupees at the auction of the 60 billion rupees 8.24 percent federal bonds maturing in 2018, lower than market expectations.

The cut-off price corresponds to a yield of 9.0785 percent.

A Reuters poll conducted earlier in the day showed India's central bank was expected to auction the 2018 bond at a cut-off price of 94.83 rupees, or a yield of 9.0469 percent.

It sold this bond via a uniform price auction, a first in two years. There was no devolvement on primary dealers in both the bonds. (Reporting by Mumbai Treasury Desk; Editing by Ramya Venugopal)