Bond yields traded flat on Tuesday amid Fitch Ratings has raised India's Gross Domestic Product (GDP) growth forecast for current fiscal (FY25) to 7.2 per cent, from 7 per cent projected in March, citing a recovery in consumer spending and increased investment.
In the global market, U.S. Treasury bond yields rose Monday, following comments by Minneapolis Federal Reserve President Neel Kashkari indicating the central bank may not cut rates until December. Furthermore, Oil prices surged nearly $2 a barrel on Monday to their highest settlement levels in over a month, adding to last week's gains as investors grew more optimistic on the demand outlook.
Back home, the yields on new 10 year Government Stock were trading flat with its previous close of 6.98% on Friday.
The benchmark five-year interest rates were trading 1 basis point higher at 7.01% from its previous close of 7.00% on Friday.