Bond yields traded lower on Wednesday despite gross Goods and Services Tax (GST) collection for November stood at Rs 1.04 lakh crore, 1.4 percent higher than the sum collected in the same month last year.
In the global market U.S. Treasury yields surged on Tuesday, propelled by a new push in Congress to send federal aid to businesses and state and local governments slammed by the coronavirus pandemic. Furthermore, oil prices extended losses, hit by a surprise build in oil inventories in the United States and as OPEC and its allies left markets in limbo by delaying a formal meeting to decide whether to increase output in January.
Back home, the yields on new 10 year Government Stock were trading 1 basis point lower at 5.92% from its previous close of 5.93% on Tuesday.
The benchmark five-year interest rates were trading 1 basis point higher at 5.12% from its previous close of 5.11% on Tuesday.