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Bond yields edge higher on Friday

05 Apr 2024 Evaluate

Bond yields edged higher on Friday amid the Reserve Bank of India’s (RBI) Monetary Policy Committee (MPC) has decided to keep the policy repo rate unchanged at 6.5% at its first meeting of FY25, as retail inflation continues to be above its target of 4 per cent.

In the global market, the 10-year Treasury yield dipped on Thursday as investors closely monitored speeches from a host of Federal Reserve officials and awaited the release of March nonfarm payrolls on Friday. Furthermore, oil prices extended gains on Thursday, settling up more than $1 as geopolitical tensions and output cuts outweighed caution about U.S. Federal Reserve rate cuts.

Back home, the yields on new 10 year Government Stock were trading 2 basis points higher at 7.11% from its previous close of 7.09% on Thursday.

The benchmark five-year interest rates were trading flat with its previous close of 7.08% on Thursday.

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