Spot gold was up 0.1% at $1,812.83 per ounce, as of 0243 GMT, after falling 1% in the previous session
Bond dealers welcome move, say this would help correct distortion in the yield curve
"Any hasty withdrawal of monetary policy support will negate the nascent or incipient recovery that is taking place," RBI Governor Shaktikanta Das told Business Standard in an interview
The most-traded 6.64% 2035 bond was up 6 basis points at 6.79%
RBI tries another way to tame bond yields as they have been rising in India on worries over inflation
Lockdowns to curtail the lethal second wave of Covid-19 infections have resulted in some earnings downgrade
The MSCI world equity index, which tracks shares in 49 countries, gained 0.1%. Wall Street futures were flat.
German 10-year yields hover near six-week lows; Italy-Germany spread near tightest level in a month
Gold prices hovered near the key level of $1,900 an ounce, supported by a weaker dollar and lower bond yields, while investors awaited U.S. data later this week to gauge inflationary pressure.
US gold futures dropped 0.5% at $1,864.10 per ounce
RBI is trying to maintain a tight leash on the 10-year bond rates, and once again devolved them in Friday's auction
India's benchmark 10-year bond yield was trading at 5.96 per cent by 0852 GMT, down 1 basis point on the day
A rebound in regional economic activity and a drop in US yields boosted sentiment.
The rejection of the bids brought down yields by 2 basis points and the 10-year bond closed at below 6 per cent again, at 5.99 per cent
Gold edged lower on Friday, as a firmer dollar made bullion more expensive for other currency holders, although a pullback in the U.S. Treasury yields limited losses for the safe-haven metal
Spot gold was little changed at $1,792.66 per ounce by 0707 GMT
U.S. gold futures gained 0.5% to $1,786.90 per ounce.
U.S. gold futures eased 0.1% to $1,769 per ounce.
A weaker Rs, slower growth, and higher inflation could lead to investors focusing on export-oriented stocks
Gold prices hit 7-week high on weak dollar, lower bond yields