Bond yields edged lower on Tuesday, on sustained demand from corporates and banks. However, gains were limited as investors remained concerned ahead of a fresh supply of securities issued by state governments.
In the global market, Treasury yields were little changed on Monday ahead of this week's auctions of $73 billion in U.S. government debt and Thursday's release of the Consumer Price Index inflation metric, even as U.S. oil prices reached their highest since 2014. Furthermore, Oil prices retreated from three-and-a-half-year highs as investors waited on an announcement by President Donald Trump on whether the United States will reimpose sanctions on Iran.
Back home, the yields on new 10 year Government Stock were trading 2 basis points lower at 7.60% from its previous close of 7.62% on Monday.
The benchmark five-year interest rates were trading 2 basis points lower at 7.66% from its previous close of 7.68% on Monday.