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Bond yields edge higher on Friday

12 Jan 2024 Evaluate

Bond yields edged higher on Friday as traders were looking ahead to the India’s Consumer Price Index (CPI) inflation and Index of Industrial Production (IIP) data to be out later in the day for more directional cues.

In the global market, U.S. Treasury yields posted steep losses on Thursday after the latest inflation reading came in hotter-than-expected, pushing expectations for an interest rate cut from the Federal Reserve further out. Furthermore, Oil prices rose sharply in Asian trade on Friday after U.S.-led forces launched airstrikes against the Iran-backed Houthi group in Yemen, ramping up concerns over more disruptions to Middle East supplies.

Back home, the yields on new 10 year Government Stock were trading 1 basis point higher at 7.17% from its previous close of 7.16% on Thursday.

The benchmark five-year interest rates were trading flat with its previous close of 7.05% on Thursday.


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