Bond yields traded higher on Thursday even after firmer prices of crude oil, petroleum products and basic metal drove India’s inflation based on wholesale price index (WPI) to 7.39% (provisional) for the month of March 2021 over March 2020.
In the global market, U.S. Treasury yields edged higher and the yield curve steepened on Wednesday as the market awaited Thursday’s release of weekly jobless claims and March retail sales data for further clues on the economy’s recovery from the coronavirus pandemic. Furthermore, oil prices were lower though holding near one-month highs after futures jumped in the previous as the International Energy Agency (IEA) and others upgraded forecasts for oil demand as major economies recover from the pandemic.
Back home, the yields on new 10 year Government Stock were trading 11 basis points higher at 6.12% from its previous close of 6.01% on Monday.
The benchmark five-year interest rates were trading 6 basis points higher at 5.64% from its previous close of 5.58% on Monday.