Bond yields traded flat on Monday as the Reserve Bank of India’s data (October 2023 bulletin) stated that net foreign direct investment (FDI) in India, inflows minus outflows, declined sharply in April-August this year to $2.99 billion from $18.03 billion in the same period last year on moderation in global activities and a rise in repatriation.
In the global market, U.S. Treasury yields ticked lower Friday after rising to multiyear highs a day earlier as investors digested comments by Federal Reserve Chairman Jerome Powell. Furthermore, oil prices settled lower on Friday after the Islamist group Hamas released two U.S. hostages from Gaza, leading to hopes the Israeli-Palestinian crisis could de-escalate without engulfing the rest of the Middle East region and disrupting oil supplies.
Back home, the yields on new 10 year Government Stock were trading flat with its previous close of 7.36% on Friday.
The benchmark five-year interest rates were trading 1 basis point higher at 7.37% from its previous close of 7.36% on Friday.
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