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Bond yields trade lower on Friday

16 Apr 2021 Evaluate

Bond yields traded lower on Friday even after government data showing that the country's exports jumped by 60.29 per cent to $34.45 billion in March even as the outbound shipments contracted by 7.26 per cent during the full 2020-21 fiscal to $290.63 billion.

In the global market, U.S. Treasury yields dived to one-month lows on Thursday as a possible safe-haven bid related to increased U.S.-Russia tensions, along with Japanese buying and technical factors, helped overshadow better-than-expected economic data. Furthermore, oil prices dipped in early trade but were on course for a weekly gain of more than 6% with an improved oil demand outlook and strong economic recoveries in China and the United States offsetting concerns about spikes in COVID-19 infections.

Back home, the yields on new 10-year Government Stock were trading 3 basis points lower at 6.09% from its previous close of 6.12% on Thursday.

The benchmark five-year interest rates were trading 1 basis point lower at 5.62% from its previous close of 5.63% on Thursday.

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