Bond yields traded lower on Monday despite Commerce and Industry Minister Piyush Goyal said India is one of the fastest-growing economies in the world and it is expected to reach $30 trillion in the coming 30 years. He said if India grows at 8 per cent every year on a compounded annual growth basis, the economy will double in about nine years.
In the global market, U.S. Treasury yields rose from two-week lows on Friday as investors weighed the likelihood that the Federal Reserve will spark an economic downturn as it aggressively hikes interest rates in a bid to stem soaring inflation. Furthermore, Oil prices slipped more than $1 a barrel as global economic concerns depressed the oil demand outlook while investors eyed the G7 meeting this week for possible moves on Russian oil exports and a revival of the Iran nuclear deal.
Back home, the yields on new 10 year Government Stock were trading 2 basis points lower at 7.42% from its previous close of 7.44% on Friday.
The benchmark five-year interest rates were trading 3 basis points higher at 7.26% from its previous close of 7.23% on Friday.