Bond yields traded 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. shorter-dated Treasury yields increased slightly on Thursday following the Federal Reserve's release of the minutes from its latest policy meeting, where it hinted at the probability of raising short-term interest rates twice more in 2018. Furthermore, Oil prices dipped as markets grew more nervous ahead of a raft of import tariffs set to be imposed later in the day by the world's two biggest economies, the United States and China, threatening global growth.
Back home, the yields on new 10 year Government Stock were trading 1 basis point lower at 7.89% from its previous close of 7.90% on Thursday.
The benchmark five-year interest rates were trading flat at its previous close at 8.05% on Thursday.