Bond yields edged higher on Wednesday, tracking a rise in U.S. Treasury yields, as a Federal Reserve official’s comments have reignited bets of an early interest rate increase in the world’s largest economy.
In the global market, US Treasury yields jumped after Federal Reserve officials jolted traders by suggesting an interest rate rise may be imminent even as markets remained on tenterhooks ahead of a looming speech by U.S. President Donald Trump. Furthermore, U.S. crude lost more ground on rising U.S. oil output, although OPEC production cuts continued to offer support.
Back home, the yields on new 10 year Government Stock were trading 6 basis points higher at 6.93% from its previous close of 6.87% on Tuesday.
The benchmark five year yields were trading 3 basis points higher at 7.02% from its previous close of 6.99% on Tuesday.