Bond yields traded lower on Wednesday, as traders took note of a private report which stated that a group of state finance ministers might recommend raising the turnover threshold for the goods and services tax (GST) from the current Rs 20 lakh to Rs 75 lakh, in a move that would give lakhs of micro and small enterprises the option to be outside the ambit of GST.
Furthermore, Oil prices were mixed on Wednesday as the US benchmark rebounded from steep losses in the previous session, even though concern over the health of the global economy continued to overshadow the market.
Back home, the yields on new 10 year Government Stock were trading 4 basis points lower at 7.25% from its previous close of 7.29% on Monday.
The benchmark five-year interest rates were trading 5 basis points lower at 7.17% from its previous close of 7.22% on Monday.