Bond yields traded higher on Monday, as finance ministry in its Monthly Economic Review for August has said the country is witnessing a V-shaped pattern of recovery as is seen in various high-frequency indicators.
In the global market, longer-term U.S. Treasury yields shot higher on Friday, propelled by a drop in the August unemployment rate and ahead of big burst of supply next week. Furthermore, oil prices dropped more than $1 barrel, hitting their lowest since July, after Saudi Arabia made the deepest monthly price cut for supply to Asia in five months.
Back home, the yields on new 10 year Government Stock were trading 5 basis points higher at 5.98% from its previous close of 5.93% on Friday.
The benchmark five-year interest rates were trading 12 basis points higher at 5.35% from its previous close of 5.23% on Friday.