Bond yields traded lower on Wednesday, as CMIE’s latest data showed that unemployment rate in urban India has been on the rise since the beginning of the current month. From 8.03% for the week ended August 1, it jumped to 9.96% in the next week and further to an eight-week high of 10.23% for the week ended August 15.
In the global market yields, U.S. Treasury yields ended Tuesday little changed in choppy trading after data showed a mixed picture of the U.S. economy and as investors remained concerned about slowing global growth and the spread of COVID-19 variants. Furthermore, Oil prices dipped, a fifth day of declines with investors wary about prospects for stronger fuel demand as the use of rail, air and other forms of transport remained constrained amid surging COVID-19 cases worldwide.
Back home, the yields on new 10 year Government Stock were trading 1 basis point lower at 6.22% from its previous close of 6.23% on Tuesday.
The benchmark five-year interest rates were trading 3 basis points lower at 5.66% from its previous close of 5.69% on Tuesday.