Bond yields edged higher on Thursday, as the Reserve Bank of India (RBI) said it would buy Rs 10,000 crore of bonds from the secondary market to keep the market liquid, even as it infused Rs 25,000 crore of liquidity through long-term repo operations (LTRO)
In the global market, U.S. Treasury yields swung widely in a volatile session on Wednesday as investors scrambled to make trades in an illiquid market, moving a closely watched part of the yield curve to its steepest in two years. Furthermore, oil prices surged as much as nearly 20%, bouncing back from days of heavy losses in a relief rally that may yet be short-lived, analysts warned, but which was stoked by economic stimulus efforts to ward off a global coronavirus recession.
Back home, the yields on new 10 year Government Stock were trading 9 basis points higher at 6.38% from its previous close of 6.29% on Wednesday.
The benchmark five-year interest rates were trading 12 basis points higher at 6.17% from its previous close of 6.05% on Wednesday.