Bond yields edged lower on Thursday as traders remained on sidelines ahead of macro-economic data i.e. Consumer Price Index (CPI) for the month of April and Index of Industrial Production (IIP) scheduled to be release on May 12, 2023.
In the global market, U.S. Treasury yields fell after data on Wednesday showed that headline consumer prices rose at an annual rate of 4.9% in April, slightly below economists’ expectations, while core prices increased by 5.5% as expected. Furthermore, oil prices fell by more than a dollar a barrel on Wednesday, ending a three-day rally, as economic data suggested that the U.S. Federal Reserve might hike interest rates further.
Back home, the yields on new 10 year Government Stock were trading 1 basis point lower at 7.02% from its previous close of 7.03% on Wednesday.
The benchmark five-year interest rates were trading 1 basis point lower at 6.97% from its previous close of 6.98% on Wednesday.