Bond yields edged lower on Monday after Reserve Bank of India (RBI) in its data on Outward Foreign Direct Investment (OFDI) for August 2022 has showed that India Inc's investment in their overseas ventures dropped by 59 per cent on an annual basis to USD 1.03 billion in August of current financial year.
In the global market, treasury yields retreated on Friday after FedEx's warning of an accelerating global demand slowdown revived the notion that slower growth will help the Federal Reserve lower inflation and allow interest rates to decline sooner than expected. Furthermore, oil prices climbed during early Asian trade on Monday as a weaker dollar and supply concerns ahead of the European Union embargo on Russian oil in December offset fears of a global recession that could dampen fuel demand.
Back home, the yields on new 10 year Government Stock were trading 1 basis point lower at 7.25% from its previous close of 7.26% on Friday.
The benchmark five-year interest rates were trading 1 basis point higher at 7.19% from its previous close of 7.18% on Friday.