Bond yields traded flat on Wednesday as traders anticipate a bond purchase plan by the central bank to offset New Delhi’s heavy borrowing plan.
In the global market, U.S. Treasury yields rose on Tuesday as improving risk appetite boosted stocks and reduced demand for safe-haven U.S. bonds, and after Treasury sold a record amount of two-year notes to solid demand. Furthermore, oil prices fell on revived concerns over how quickly fuel demand will recover even as coronavirus lockdowns begin to ease in many countries, while U.S.-China tensions added to negative sentiment.
Back home, the yields on new 10 year Government Stock were trading flat with its previous close of 5.97% on Tuesday.
The benchmark five-year interest rates were trading flat with its previous close of 5.41% on Tuesday.