Bond yields edged higher on Thursday, as traders remained on the side lines with a report stating that FDI inflows to South and South-West Asia decreased by 6 per cent in 2017 due to a drop in foreign funding flow to countries like India and Turkey.
In the global market, US Treasury yields climbed on Wednesday on signs of progress in US-China trade discussions and easing tensions on Britain's exit from the European Union after UK Prime Minister Theresa May looked to have garnered enough support to survive a no-confidence vote. Furthermore, Oil prices rose, buoyed by a drawdown in US crude inventories and signs that China is taking more concrete steps to put a trade war truce with Washington into action.
Back home, the yields on new 10 year Government Stock were trading 1 basis point higher at 7.42% from its previous close of 7.41% on Wednesday.
The benchmark five-year interest rates were trading 2 basis points lower at 7.35% from its previous close of 7.37% on Wednesday.