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Bond yields trade higher on Friday

11 Dec 2015 Evaluate

BoBond yields traded higher on Friday as investors remained on sidelines ahead of the IIP data to be released later in the day and November inflation print to be released on Monday and the US Federal Reserve's policy meet on December 15-16, when it is widely expected to raise interest rates for the first time in nearly a decade.

In the global market, U.S. Treasury debt yields rose on Thursday, reversing their earlier fall in a generally thin market, bolstered by gains in the stock market as investors awaited a crucial Federal Reserve meeting next week. Furthermore, Crude oil prices remained at levels not seen since early 2009 on Friday as output in the Middle East continued to rise despite an already huge global glut, with analysts saying the price outlook for the rest of the year and into 2016 remained weak.

Back home, the yields on new 10 year Government Stock were trading 1 basis point higher at 7.79% from its previous close at 7.78% on Thursday.

The benchmark five-year interest rates were trading 1 basis point higher at 7.78% from its previous close at 7.77% on Thursday.

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