The index of industrial production (IIP) in January stood at positive 0.1 percent versus CNBC-TV poll, which expected a contraction of around 1.1 percent. Meanwhile, the consumer price index (CPI) for February, which is a precursor to the RBI policy on April 1, came in at 8.10 percent.
Bonds turned weak after the Jan IIP data despite Friday's CRR cut. All eyes are on inflation due tomorrow, which is likely to be around 7%, says Sandeep Bagla, ICICI Securities Primary Dealership.