Bond yields traded higher on Tuesday after NITI Aayog CEO Amitabh Kant has said that Indian economy growing at 9.2%, among fastest-growing large economies. He added the Indian economy is expected to grow at similar rates in the coming years. While referring to the government’s production linked incentive (PLI) scheme for sunrise sectors, he said it will add $520 billion to India’s output in the next five years and make India a part of the global supply chain.
In the global market, the safe-haven yen hit a near three-week high and the euro and riskier currencies fell as Russia ordered troops into breakaway parts of eastern Ukraine and the region stood on the brink of war. Furthermore, oil prices jumped more than $2 to a fresh seven-year high on Tuesday after Moscow ordered troops into two breakaway regions in eastern Ukraine, escalating a crisis that western leaders have warned could spark a war.
Back home, the yields on new 10 year Government Stock were trading 5 basis points higher at 6.74% from its previous close of 6.69% on Monday.
The benchmark five-year interest rates were trading 5 basis points higher at 5.98% from its previous close of 5.93% on Monday.