Bond yields traded higher on Monday as the National Statistical Office (NSO) in its first advance estimate indicated that the Indian economy remains on track to regain its position as the world's fastest-growing major economy and put the GDP expansion at a tempered 9.2 per cent this fiscal.
On the global front, U.S. benchmark Treasury 10-year yield soared to a two-year high on Friday, as a mixed U.S. nonfarm payrolls report that showed fewer-than-expected new jobs created in December was viewed as good enough to keep the Federal Reserve on track to raise interest rates at its March meeting. Furthermore, oil lost more ground as rapidly climbing cases of the Omicron COVID-19 variant hit economic activity, although losses were curbed by supply disruptions in Kazakhstan and Libya.
Back home, the yields on new 10 year Government Stock traded 4 basis points higher at 6.58% from its previous close of 6.54% on Friday.
The benchmark five-year interest rates were traded 5 basis point higher at 6.03% from its previous close of 5.98% on Friday.