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Bond yields edge higher on Thursday

30 Nov 2023 Evaluate

Bond yields edged higher on Thursday after Economic Affairs Secretary Ajay Seth said Indian economy is showing momentum and the growth rate in the second quarter (July-September) is likely to be good. The economy grew at 7.8 per cent in the first quarter (April-June) of the current financial year.

In the global market, U.S. Treasury yields fell on Wednesday, buoyed by better-than-expected gross domestic product data and investors' hopes that the Federal Reserve is finished with its rate-hiking campaign. Furthermore, oil prices extended gains early on Wednesday as a storm continues to disrupt crude loadings in the Black Sea and the market awaits news about the next move from OPEC+ set to hold a meeting on Thursday.

Back home, the yields on new 10 year Government Stock were trading 1 basis point higher at 7.26% from its previous close of 7.25% on Wednesday.

The benchmark five-year interest rates were trading 3 basis points higher at 7.29% from its previous close of 7.26% on Wednesday.