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Bond yields trade lower on Monday

03 Sep 2018 Evaluate

Bond yields traded lower on Monday, as the local currency is expected to appreciate against the dollar after the nation's economic growth quickened to an over two-year high in April-June.

In the global market, US Treasuries rose on news that Canada and the United States had failed to reach an agreement on the North American Free Trade Agreement before the deadline on Friday set by President Donald Trump. Furthermore, Oil prices fell amid rising supply from OPEC and the United States, outweighing concerns that falling Iranian output will tighten markets once US sanctions bite from November.

Back home, the yields on new 10 year Government Stock were trading 1 basis point lower at 7.94% from its previous close of 7.95% on Friday.

The benchmark five-year interest rates were trading 1 basis point higher at 8.02% from its previous close of 8.01% on Friday.

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