Bond yields traded higher on Monday, tracking gains in crude oil prices.
In the global market, US Treasury prices fell sharply on Friday, as investors cashed in on steep gains the last two days that saw yields drop to multi-year lows in the wake of a Federal Reserve statement that flagged interest rate cuts this year. Furthermore, Oil prices climbed as tensions remain high between Iran and the United States, with U.S. Secretary of State Mike Pompeo saying ‘significant’ sanctions on Tehran would be announced.
Back home, the yields on new 10 year Government Stock were trading 1 basis point higher at 6.87% from its previous close of 6.86% on Friday.
The benchmark five-year interest rates were trading 2 basis points higher at 6.72% from its previous close of 6.70% on Friday.