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Bond yields trade higher on Friday

25 Oct 2024 Evaluate

Bond yields traded higher on Friday after government has doubled the loan limit under the Pradhan Mantri Mudra Yojana (PMMY) to Rs 20 lakh to promote entrepreneurship in the country. This increase aspires to further the overall objective of the Mudra Scheme which is funding the unfunded. 

In the global market, the yield on the 10-year Treasury eased Thursday from the near three-month highs reached in the previous session, as traders continue to digest the trajectory of interest rate cuts. Furthermore, Oil prices eased about 1% in volatile trade on Thursday on reports the U.S. and Israel will try to restart talks on a possible ceasefire in Gaza.

Back home, the yields on new 10 year Government Stock were trading 13 basis points higher at 6.95% from its previous close of 6.82% on Thursday.  

The benchmark five-year interest rates were trading 12 basis points higher at 6.86% from its previous close of 6.74% on Thursday.

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