Bond yields were trading lower on Wednesday ahead of inflation data in the United States that will offer a guide to how aggressively the Federal Reserve will raise rates.
On the global front, U.S. Treasuries rallied on Tuesday, with the benchmark 10-year note yield tumbling from more than a three-year high to below 3%, as the market paused to reassess the inflation outlook a day before key consumer price data is released. Furthermore, oil rose, following a 9% drop over the previous two sessions, on supply concerns as the European Union worked on gaining support for a ban on Russian oil and major producers warned they may struggle to fill the gap when demand improves.
Back home, the yields on new 10 year Government Stock were trading 8 basis points lower at 7.22% from its previous close of 7.30% on Tuesday.
The benchmark five-year interest rates were trading flat with its previous close of 7.17% on Tuesday.