Bond yields traded higher on Monday, as crude oil prices continue to rise, bringing back inflation fears that may lead to faster pace of interest rate hikes.
In the global market, US Treasury yield curve reached its flattest level since 2007 on Friday as comments by Federal Reserve Chairman Jerome Powell affirmed expectations that the U.S. central bank will continue raising rates. Furthermore, Oil prices dipped slightly on concerns that a US-China trade dispute will erode global economic growth, although looming US sanctions against Iran's oil sector kept crude from falling further.
Back home, the yields on new 10 year Government Stock were trading 1 basis point higher at 7.88% from its previous close of 7.87% on Friday.
The benchmark five-year interest rates were trading 2 basis points higher at 7.96% from its previous close of 7.94% on Friday.