Bond yields traded lower on Friday with the Centre for Monitoring Indian Economy’s statement that the unemployment rate in India has shot up in the first two weeks of April and the monthly unemployment rate is likely to be close to 8% compared to 6.5% in March with lower absorption of labour in the market.
In the global market U.S Treasury yields hit two-week highs on Thursday after President Joe Biden proposed trillions of dollars in new spending, and as data showed American economic growth accelerated in the first quarter. Furthermore, oil prices slipped, taking a breather after touching their highest in six weeks as economic recovery and bullish summer fuel demand outlook outweighed concerns of wider lockdowns in India and Brazil to curb COVID-19 pandemic.
Back home, the yields on new 10-year Government Stock were trading 1 basis point lower at 6.04% from its previous close of 6.05% on Thursday.
The benchmark five-year interest rates were trading flat with its previous close of 5.42% on Thursday.
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