Bond yields remained steady on Thursday as investors failed to get solace from the Wholesale Price Index (WPI)-based inflation for December 2015 which has come in at (-) 0.73 per cent. This is a contraction for the 14th straight month.
In the global market, The U.S. Treasury debt market rallied on Wednesday with benchmark yields hitting their lowest levels in over two months as tumbling stock and oil prices stoked investor anxiety, rekindling safe-haven bids for bonds. Furthermore, Crude oil fell in Asian trade, with Brent marking another 12-year low amid gloom over a world awash with supply and concerns about global economic growth hitting equity markets.
Back home, the yields on new 10 year Government Stock were trading flat from its previous close at 7.76% on Wednesday.
The benchmark five-year interest rates were trading 2 basis points lower at 7.66% from its previous close at 7.68% on Wednesday.