Bond yields traded lower on Wednesday, as the central bank announced another round of open market purchase of notes, while crude oil prices stayed lower.
In the global market, the US two-year Treasury yield rose on Tuesday to its highest level in nearly a decade, with the yield curve at its flattest in nearly 11 years, as Federal Reserve Chairman Jerome Powell's upbeat remarks on the economy supported traders’ view of more rate hikes. Furthermore, Oil prices dropped after an industry group reported that US crude inventories rose last week, defying analyst expectations for a significant reduction.
Back home, the yields on new 10 year Government Stock were trading 1 basis point lower at 7.74% from its previous close of 7.75% on Tuesday.
The benchmark five-year interest rates were trading 1 basis point lower at 7.90% from its previous close of 7.91% on Tuesday.