Bond yields edged lower on Monday as the Union finance minister Nirmala Sitharaman said certain methods used by Western economies during the Covid-19 pandemic caused global economic stress as an after-effect. She said many of the Western developed economies adopted that method -- like printing more currency and distributing it among people -- in dealing with the stress in their economies.
In the global market, Treasury yields rose on Friday after data showed that U.S. business activity accelerated in April and as investors waited on the Federal Reserve’s upcoming May meeting for more guidance on whether further interest rate hikes are likely. Furthermore, Oil prices edged higher on Friday on strong economic data in the euro zone and Britain, but futures were on track for a weekly loss as interest rate uncertainty weighed.
Back home, the yields on new 10 year Government Stock were trading 5 basis points lower at 7.13% from its previous close of 7.18% on Friday.
The benchmark five-year interest rates were trading flat with its previous close of 7.03% on Friday.