Bond yields traded lower on Wednesday amid a private report stating that current account leading to higher imports and a rise in current account deficit, which is likely to print at 1.3 per cent of the GDP or $40 billion, up from 0.9 per cent surplus last fiscal.
In the global market, The U.S. Treasury yield curve widened on Tuesday, as investors unwound flattening moves of the last few sessions after global central banks dampened expectations of near-term tightening that spilled over to the world's largest bond market. Furthermore, oil prices turned down after the Chinese government flagged it was looking for ways to tame record high coal prices and that it would ensure coal mines operate at full capacity as Beijing moved to ease a power shortage.
Back home, the yields on new 10 year Government Stock were trading 1 basis point lower at 6.37% from its previous close of 6.38% on Monday.
The benchmark five-year interest rates were trading 2 basis points higher at 5.86% from its previous close of 5.84% on Monday.