Bond yields traded flat on Wednesday as Investors were anxiously waiting for the upcoming monetary policy review on October 4, the first to be held under newly appointed Reserve Bank of India (RBI) Governor Urjit Patel, amid expectations of a 25 basis point cut in the repo rate.
In the global market, U.S. long-dated Treasury debt yields fell to three-week lows on Tuesday on concerns about ongoing problems at Deutsche Bank, Germany's largest lender, which could again delay the next interest rate hike by the Federal Reserve. Furthermore, oil prices rose after sharp losses in the previous session, as industry data showed a surprise draw in U.S. crude stocks, although worries over a lack of agreement among producers to curb output kept a lid on gains.
Back home, the yields on new 10 year Government Stock were trading flat at its previous close at 6.93% on Tuesday.
The benchmark five-year interest rates were trading 1 basis point higher at 6.84% from its previous close of 6.83% on Tuesday.