Bond yields traded flat on Monday amid government expects vegetable prices to start cooling off from next month with the advent of new crops in the market. Besides, Moody’s Investors Service affirmed India’s sovereign rating at ‘Baa3’ with stable outlook and said high growth will support a gradual increase in income levels, which will further contribute to economic strength.
In the global market, U.S. Treasury yields fell on Friday as investors considered the economic outlook, especially regarding inflation, and assessed what could be on the horizon for Federal Reserve monetary policy. Furthermore, Oil prices rose on Friday on signs of slowing U.S. output, but both crude benchmarks also ended their longest weekly rally of 2023 on mounting concerns about global demand growth.
Back home, the yields on new 10 year Government Stock were trading flat with its previous close of 7.21% on Friday.
The benchmark five-year interest rates were trading flat with its previous close of 7.20% on Friday.