Aug 25 (Reuters) - STOCKS:

The benchmark BSE Sensex was up 0.4% to 81635.91, while

the broader NSE Nifty 50 index advanced 0.39% to

24967.75, as U.S. Federal Reserve Chair Jerome Powell hinting at

an interest rate cut buoyed prospects for risk assets globally.

RUPEE:

The Indian rupee dropped 0.1% versus the U.S. dollar to

87.58, as concerns over steep tariffs on Indian goods spurred

dollar demand, with importer bids adding pressure.

GOVERNMENT BONDS:

The price of the benchmark 10-year bond was

quoted at 98.1 rupees, as traders continued to cut positions on

worries over fiscal slippage and weak appetite to meet upcoming

supply. The yield, which moves inversely to price, was up 5 bps

to 6.5967%.

OVERNIGHT INDEX SWAPS:

The one-year overnight index swap rate was

flat at 5.52%, while the five-year swap rate

inched up over 1 bp to 5.75%.

CALL MONEY:

India's overnight call money rate was at 4.95% and the

overnight TREPS rate was at 5.18%.

(Reporting by Hritam Mukherjee in Bengaluru)