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Bond yields trade higher on Friday

18 Jan 2019 Evaluate

Bond yields traded higher on Friday, as traders remain cautions with rupee declining against the US dollar due to some buying in American currency by banks and importers amid an uptick in global crude oil prices.

In the global market, U.S. Treasury yields rose on Thursday with the benchmark 10-year yield reaching near three-week highs as better-than-expected economic data and hopes for progress in U.S.-China trade talks diminished safe-haven demand for government debt. Furthermore, Oil prices rose after a report from the Organization of the Petroleum Exporting Countries showed its production fell sharply last month, easing fears about prolonged oversupply.

Back home, the yields on new 10 year Government Stock were trading 3 basis points higher at 7.58% from its previous close of 7.55% on Thursday.

The benchmark five-year interest rates were trading 2 basis points higher at 7.34% from its previous close of 7.36% on Thursday.

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