Bond yields edged higher on Monday despite domestic rating agency Icra’s stated that India's gross domestic product (GDP) is likely to contract by 4.5 per cent in the April-June 2020 quarter and will rise by only 2 per cent in 2020-21 on the coronavirus impact,
In the global market, treasury yields fell on Friday as investors shrugged off the passage of a $2 trillion stimulus bill by the U.S. Congress and sought safety in high-quality assets. Furthermore, crude oil benchmarks dropped, extending last week's losses as the global coronavirus pandemic worsened and the Saudi Arabia-Russia price war showed no\ signs of abating.
Back home, the yields on new 10 year Government Stock were trading 2 basis points higher at 6.16% from its previous close of 6.14% on Friday.
The benchmark five-year interest rates were trading 10 basis points higher at 5.69% from its previous close of 5.59% on Friday.