Bond yields edged flat on Thursday amid the Asian Development Bank (ADB) in its latest forecast has maintained the growth outlook for developing economies in Asia and the Pacific at 4.8 per cent for 2023, and noted robust domestic demand continues to support the region’s recovery. According to the Asian Development Outlook (ADO) July 2023, ADB forecasted that inflation in the region is expected to fall continuously, approaching pre-pandemic levels as fuel and food prices decline.
In the global market, treasury yields fell Wednesday morning after cooler-than-forecast U.K. inflation bolstered the narrative that central banks will soon be done raising interest rates. Furthermore, oil prices edged lower on Wednesday, as investors took profits following earlier gains on tighter U.S. crude supplies and China's pledge to reinvigorate its economic growth.
Back home, the yields on new 10 year Government Stock were trading flat with its previous close of 7.07% on Wednesday.
The benchmark five-year interest rates were trading 2 basis points higher at 7.05% from its previous close of 7.03% on Wednesday.