Bond yields traded higher on Wednesday amid lack of fresh triggers, with yields moving in a tight range in absence of any big development. Meanwhile, Chief economic adviser Arvind Subramanian said that India should not peg all the hopes on a rate cut by the Reserve Bank of India to cure the economy from all that plagues it.
In the global market, U.S. Treasury yields fell on Tuesday in line with Japanese yields after weak Chinese data revived fears of a global economic slowdown, increasing demand for safe-haven government debt. Furthermore, Oil prices dipped on Wednesday, weighed down by a strengthening U.S.-dollar and concerns over slowing demand, although falling U.S. production lent crude markets some support.
Back home, the yields on new 10 year Government Stock were trading 1 basis point higher at 7.65% from its previous close at 7.64% on Tuesday.
The benchmark five-year interest rates were trading 3 basis points higher at 7.81% from its previous close at 7.98% on Tuesday.
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