Bond yields traded higher on Tuesday with expressing optimism over India’s economic growth, the Confederation of Indian Industry’s (CII) President TV Narendran has said that the country’s economy is likely to grow 7.5-8 per cent this fiscal year (FY23) with exports playing a key role in the country’s success story.
In the global market, U.S. Treasury yields edged down on Monday as fears over China's COVID-19 outbreaks spooked investors, leading to a partial reversal of last week's moves, when concerns over aggressive U.S. interest rate hikes pushed yields higher. Furthermore, oil prices opened slightly higher, after falling sharply the prior session on worries that continued COVID-19 lockdowns in China would eat into demand and as the U.S. dollar rose to a two-year high.
Back home, the yields on new 10 year Government Stock were trading 1 basis point higher at 7.05% from its previous close of 7.04% on Monday.
The benchmark five-year interest rates were trading 3 basis points higher at 6.58% from its previous close of 6.55% on Monday.