Bond yields edged higher on Friday, as traders remain cautious with governments’ data which highlighted that the output of eight core industries in September contracted to a low of (-) 5.2 per cent, due to a decline in output of coal, crude oil, natural gas, cement, and electricity.
In the global market, Two- and 10-year US Treasury yields on Thursday recorded their biggest daily drop since Aug 5 on trade fears and in the wake of an interest rate cut by the US central bank. Furthermore, Oil prices steadied after a rough week, squeezed about 4% lower by a combination of rising global supply and uncertain future demand.
Back home, the yields on new 10 year Government Stock were trading 12 basis points higher at 6.52% from its previous close of 6.64% on Thursday.
The benchmark five-year interest rates were trading 7 basis point higher at 6.36% from its previous close of 6.29% on Thursday.