Bond yields were trading tad higher in absence of Open Market Operation (OMO) announcement from Reserve Bank of India on Tuesday. However, the trade remained range-bound as traders are awaiting the September-quarter gross domestic product data due to be released on Nov 30.
On the global front, US 10-year Treasuries prices fell on Thursday, taking their cue from rising equities on cautious hope that the US 'fiscal cliff' impasse over tax hikes and spending cuts will be resolved in the coming weeks. Meanwhile, Brent crude climbed towards $110 a barrel on Thursday, as US lawmakers appeared to be inching closer to a deal on the 'fiscal cliff' and tensions in the Middle East worsened, although investors remained wary of the outlook for oil demand next year
The yields on 10-year 8.79% - 2021 were trading 1 basis point higher at 8.20% from its previous close of 8.19% on Tuesday.
The benchmark five-year interest rates were trading 1 basis point lower at 7.14% from its previous close of 7.15% on Tuesday.
The Government of India have announced the sale (re-issue) of three dated securities for Rs 13,000 crore on November 30, 2012, which includes (i) ‘8.07 percent Government Stock 2017-JUL’ for a notified amount of Rs 3,000 crore (nominal) through price based auction; (ii) ‘8.33 percent Government Stock 2026’ for a notified amount of Rs 7,000 crore (nominal) through price based auction; and (iii) ‘8.97 percent Government Stock 2030’ for a notified amount of Rs 3,000 crore (nominal) through price based auction. The auctions will be conducted using uniform price method. The auctions will be conducted by the Reserve Bank of India, Mumbai Office, Fort, Mumbai on November 30, 2012 (Friday).
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