Bond yields were trading higher on Wednesday, as Asian Development Bank projected a 7% collective growth for South Asian economies in 2022 with the subregion's largest economy India growing by 7.5% in the current fiscal year before picking up to 8% the next year.
On the global front, the 10-year Treasury rose to its highest level since May 2019 on Tuesday as investors weighed remarks from Federal Reserve Governor Lael Brainard, which indicated an aggressive approach to shrinking the central bank’s balance sheet. Furthermore, this week's see-saw in crude prices continued on Wednesday with the trade flow reflecting headlines from the Russia-Ukraine war, supply boost and fall in demand from China on surging COVID-19 cases.
Back home, the yields on new 10 year Government Stock were trading 2 basis points higher at 6.91% from its previous close of 6.89% on Tuesday.
The benchmark five-year interest rates were trading 1 basis point higher at 6.17% from its previous close of 6.16% on Tuesday.