Bond yields traded lower on Thursday, as International Monetary Fund (IMF) has said India's debt-to-GDP ratio increased from 74 percent to 90 percent during the COVID-19 pandemic, noting that it expects this to drop down to 80 percent as a result of the country's economic recovery.
In the global market, U.S. Treasury yields were mostly lower on Wednesday after the Federal Reserve struck a dovish tone in the minutes of its March policy meeting, reinforcing expectations that interest rates will remain low for some time. Furthermore, oil prices fell after official figures showed a big increase in U.S. gasoline stocks, causing concerns about demand for crude weakening in the world's biggest consumer of the resource at a time when supplies around the world are rising.
Back home, the yields on new 10 year Government Stock were trading 5 basis points lower at 6.03% from its previous close of 6.08% on Wednesday.
The benchmark five-year interest rates were trading 2 basis points lower at 5.58% from its previous close of 5.60% on Wednesday.
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