Bond yields were trading lower on Monday after oil ministry's Petroleum Planning & Analysis Cell (PPAC) in its latest data has showed that India's crude oil import bill nearly doubled to $119 billion in the fiscal year that ended on March 31, as energy prices soared globally following the return of demand and war in Ukraine.
In global front short-dated U.S. Treasury yields hit fresh three-year highs on Friday, a day after Federal Reserve officials, including Chairman Jerome Powell, indicated that the U.S. central bank will aggressively hike interest rates to stem soaring inflation. Furthermore, oil prices extended losses amid persistent worries that prolonged COVID-19 lockdowns in Shanghai and potential U.S. rate hikes would dent global economic growth and fuel demand.
Back home, the yields on new 10 year Government Stock were trading 11 basis points lower at 7.05% from its previous close of 7.16% on Friday.
The benchmark five-year interest rates were trading 7 basis points lower at 6.58% from its previous close of 6.65% on Friday.