Bond yields edged lower on Wednesday, after Arun Jaitley in its Union Budget presentation stated that sluggish growth has replaced with high growth and demonetization will lead to a higher GDP. He also said that India's Current Account Deficit declined from about 1% of GDP last year to 0.3% of GDP in first half of 2016-17.
In the global market, U.S. Treasury prices gained on Tuesday after President Donald Trump expressed concern about the value of the dollar, sending it lower and raising demand for safe haven U.S. bonds. Furthermore, oil dipped, weighed by ongoing high supplies despite an OPEC-led production cut, but prices remained within a narrow range that has bound the market since late January.
Back home, the yields on new 10 year Government Stock were trading 1 basis point lower at 6.40% from its previous close of 6.41% on Tuesday.
The benchmark five-year interest rates were trading flat at its previous close at 6.56% on Tuesday.