Bond yields edged lower on Thursday on speculation the central bank's measures to improve the corporate debt market will enhance liquidity and bolster demand for government securities. However, investors await the auction of four bonds, which is scheduled to take place on Friday.
In the global market, U.S. Treasury yields were steady on Wednesday as investors awaited a speech by Federal Reserve Chair Janet Yellen on Friday for new indications on when the U.S. central bank will raise interest rates. Furthermore Crude prices edged lower as brimming U.S. and Asian fuel inventories returned investors' attention to a large global supply overhang, cutting short a price rally and restricting Brent crude futures to below the $50 a barrel mark.
Back home, the yields on new 10 year Government Stock were trading 1 basis points lower at 7.12% from its previous close of 7.13% on Wednesday.
The benchmark five-year interest rates were trading 2 basis points lower at 7.03% from its previous close of 7.05% on Wednesday.
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