The domestic market was marginally disappointed by lower than expected infra spending in the interim budget. However, the government's commitment to fiscal prudence, targeting a fiscal deficit of 5.1% for FY25BE, is expected to improve the outlook on economic ratings. This led to a significant drop in India's 10-year yield by 100bps to 7.04%, reflecting optimism due to lower-than-expected government borrowing. Meanwhile, the US FED's decision to maintain rates without clear guidance on future cuts dampened market sentiments