Bond yields trade lower on Thursday, after the U.S. Federal Reserve kept its interest rate unchanged as expected, and did not give clear indications about the next rate hike.
In the global market, U.S. Treasury prices rose on Wednesday after the Federal Reserve, as expected, left policy rates unchanged and offered no hint it was in a rush to raise them even as it acknowledged fewer near-term risks in its outlook on the U.S. economy. Furthermore, crude oil prices recovered slightly from April lows, but the outlook for the industry remained weak as crude producers and fuel refiners continue to pump out more than the market can consume.
Back home, the yields on new 10 year Government Stock were trading 4 basis points lower at 7.21% from its previous close at 7.25% on Wednesday.
The benchmark five-year interest rates were trading 2 basis points lower at 7.08% from its previous close at 7.10% on Wednesday.