Bond yields edged lower on Thursday, driven by the central bank’s higher-than-expected dividend payment to the government, while fall in crude oil prices will further aid buying sentiments.
In the global market, US Treasury yields held firm on Wednesday as investors bought a hefty chunk of the record $26 billion sale of 10-year notes, the second leg of this week's $78 billion in quarterly refunding. Furthermore, Oil edged higher after it tumbled on Wednesday amid an escalated trade dispute between the United States and China and Chinese import data which showed a slowdown in energy demand.
Back home, the yields on new 10 year Government Stock were trading 3 basis points lower at 7.75% from its previous close of 7.78% on Wednesday.
The benchmark five-year interest rates were trading 3 basis points lower at 7.82% from its previous close of 7.85% on Wednesday.