Bond yields edged higher on Friday after India's annual wholesale price-based inflation (WPI) eased in September to 10.70% as against 12.41% recorded in August 2022 and 11.8% in September last year.
In the global market, treasury yields jumped on Thursday, sending the policy-sensitive 2-year rate to its highest since August 2007, after September’s U.S. consumer-price index came in hot and increased the chances of another 75-basis-point rate hike by the Federal Reserve next month. Furthermore, oil prices slipped on Thursday amid concerns that rising inflation will dent fuel demand and as the International Energy Agency warned that the global economy may go into recession.
Back home, the yields on new 10 year Government Stock were trading 5 basis points higher at 7.47% from its previous close of 7.42% on Thursday.
The benchmark five-year interest rates were trading 7 basis points higher at 7.43% from its previous close of 7.36% on Thursday.