Bond yields edged flat on Thursday after rating agency Icra retained its previous growth forecast of 7.2 per cent for the current fiscal, citing revival in contact-intensive services and a pick-up in government and private expenditure.
In the global market, U.S. Treasury prices rebounded sharply on Wednesday after the Bank of England bought long-dated UK bonds to restore financial stability in markets rocked globally by the new British government's fiscal policy plans. Furthermore, oil prices fell as a strong dollar and economic woes outweighed optimism over consumer demand.
Back home, the yields on new 10 year Government Stock were trading flat with its previous close of 7.33% on Wednesday.
The benchmark five-year interest rates were trading 1 basis point lower at 7.33% from its previous close of 7.34% on Wednesday.