Bond yields traded higher on Friday amid private report stated that India is likely to grow 6-6.3 per cent in the current fiscal year ending March 31, 2024. It also forecasted growth surpassing 7 per cent over the next two years if global uncertainties recede.
In the global market, U.S. Treasury yields rose on Thursday as investors considered the outlook for interest rates after the Federal Reserve’s latest interest rate decision and a stronger-than-expected GDP report. Furthermore, oil prices rose on Thursday as investors focused on expectations of tighter supplies from top oil producers, helping reverse earlier losses that were driven by worries that the hike in interest rates by the U.S. will hurt demand.
Back home, the yields on new 10 year Government Stock were trading 5 basis points higher at 7.17% from its previous close of 7.12% on Thursday.
The benchmark five-year interest rates were trading 4 basis points higher at 7.15% from its previous close of 7.11% on Thursday.