Bond yields traded higher on Thursday as a private report expressed optimism that India's sovereign rating would go up on the back of efforts being taken by the government to push economic reforms.
In the global market, U.S. Treasuries yields on the longer end of the curve remained elevated, while yields on shorter-term debt fell on Wednesday after the Federal Reserve projected a bigger jump in economic growth with no interest rate hikes through 2023. Furthermore, oil prices dropped for a fifth day after official data showed a sustained rise in U.S. crude and fuel inventories, while the ever-present pandemic clouded the demand outlook.
Back home, the yields on new 10 year Government Stock were trading 2 basis points higher at 6.20% from its previous close of 6.18% on Wednesday.
The benchmark five-year interest rates were trading 3 basis points lower at 5.80% from its previous close of 5.83% on Wednesday.