Bond yields traded flat on Wednesday, as another plunge in crude oil prices overnight will further ease inflation pressure, intensifying bets of more rate cuts.
In the global market, safety-seeking investors bought U.S. Treasuries on Tuesday, pushing yields on the five-year note to a record low, as the difficulties of restarting the U.S. economy amid the COVID-19 pandemic sank in. Furthermore, oil prices found some respite as U.S. oil futures rose more than 20% and Brent prices steadied after a two-day price plunge, as markets struggle with a massive crude glut amid the coronavirus outbreak.
Back home, the yields on new 10 year Government Stock were trading flat with previous close of 6.21% on Tuesday.
The benchmark five-year interest rates were trading 9 basis points lower at 5.20% from its previous close of 5.29% on Tuesday.