Bond yields traded higher on Tuesday as inflation based on wholesale price index (WPI) in India slowed down in the month of August 2024 to 1.31% from 2.04% in July. Mineral oils prices also decreased in the reported month.
In the global market, U.S. Treasury yields were slightly lower Monday as investors looked ahead to this week’s Federal Reserve meeting and interest rate decision. Furthermore, Oil prices rose on Monday as the ongoing impact of Hurricane Francine on output in the U.S. Gulf of Mexico offset persistent Chinese demand concerns ahead of this week's U.S. Federal Reserve interest rate cut decision.
Back home, the yields on new 10 year Government Stock were trading 12 basis points higher at 6.88% from its previous close of 6.76% on Monday.
The benchmark five-year interest rates were trading 12 basis points higher at 6.80% from its previous close of 6.68% on Monday.
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