Bond yields edged higher on Thursday as Reserve Bank of India’s (RBI’s) Monetary Policy Committee (MPC) has decided to Keep the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 6.50 per cent.
In the global market, U.S. Treasury yields held steady on Wednesday as investors considered new commentary from Federal Reserve officials suggesting that the central bank would proceed with caution before cutting rates. Furthermore, oil prices rose for a third consecutive day on Wednesday, boosted by a larger-than-expected fall in U.S. fuel stocks, and rising tensions in the Middle East.
Back home, the yields on new 10 year Government Stock were trading 1 basis point higher at 7.08% from its previous close of 7.07% on Wednesday.
The benchmark five-year interest rates were trading 3 basis point higher at 7.03% from its previous close of 7.00% on Wednesday.