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Bond yields trade lower on Friday

25 May 2018 Evaluate

Bond yields edged lower on Friday, on sustained demand from corporates and banks. However, gains remained capped as investors remained cautious ahead of a weekly auction of notes today.

In the global market, U.S. Treasury yields fell on Thursday on safety buying after President Donald Trump called off a planned summit with North Korean leader Kim Jong Un and as the Turkish lira renewed its decline. Furthermore, Oil prices eased as Russia hinted it may gradually increase output, after having withheld supplies in concert with producer cartel OPEC since 2017.

Back home, the yields on new 10 year Government Stock were trading 4 basis points lower at 7.83% from its previous close of 7.87% on Thursday.  

The benchmark five-year interest rates were trading 2 basis points lower at 7.86% from its previous close of 7.88% on Thursday.