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Bond yields trade higher on Thursday

18 May 2017 Evaluate

Bond yields edged higher on Thursday ahead of the GST meeting where Finance Ministry Arun Jaitley is likely to finalise the rates that various goods and services will attract from July 1.

In the global market, U.S. Treasury yields were on track on Wednesday for their biggest daily percent drop since July as concerns grew that allegations against U.S. President Donald Trump would delay his efforts to cut taxes and increase infrastructure spending. Furthermore, Oil prices dipped, weighed down by plentiful supply despite ongoing efforts led by OPEC to tighten the market by cutting production.

Back home, the yields on new 10 year Government Stock were trading 1 basis point higher at 6.85% from its previous close of 6.84% on Wednesday.

The benchmark five-year interest rates were trading flat at its previous close at 7.00% on Wednesday.