Bond yields edged higher on Monday as the Reserve Bank of India said India’s foreign exchange reserves jumped $4.532 billion to $588.78 billion for the week ended April 28. The overall reserves had dropped $2.164 billion to $584.248 billion in the previous reporting week.
In the global market, U.S. Treasuries sold off on Friday as strong U.S. jobs data brightened the economic outlook and traders pared expectations of Federal Reserve easing after a long spate of rate hikes. Furthermore, Oil prices rose on Friday but fell for the third straight week after a sharp fall earlier this week ahead of benchmark interest rate rises and on concern that the U.S. banking crisis will slow the economy and sap fuel demand.
Back home, the yields on new 10 year Government Stock were trading 2 basis points higher at 7.03% from its previous close of 7.01% on Friday.
The benchmark five-year interest rates were trading 2 basis points higher at 6.97% from its previous close of 6.95% on Friday.