Bond yields edged higher on Monday, on account of lower demand from corporates and banks. Some concern also came with the private report that global brokerage firm lowered India’s GDP growth forecast to 6.6 percent for this fiscal from 7.2 percent earlier.
In the global market, U.S. Treasury yields rose on Friday as strong manufacturing data boosted sentiment that economic growth is solid, even after the August jobs report was weaker than economists expected. Furthermore, Oil markets were volatile, supported by shutdowns of U.S. production following Hurricane Harvey, but pressured by an expected downturn in crude demand as the storm knocked out refineries along the Gulf of Mexico coast.
Back home, the yields on new 10 year Government Stock were trading 3 basis points higher at 6.52% from its previous close of 6.49% on Friday.
The benchmark five-year interest rates were trading 3 basis points higher at 6.51% from its previous close of 6.48% on Friday.