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Bond yields trade higher on Monday

16 Dec 2024 Evaluate

Bond yields traded higher on Monday as Inflation based on wholesale price index (WPI) in India eased in the month of November 2024 to 1.89% as compared to 2.36% in October 2024, due to fall in prices of food articles, crude petroleum & natural gas and electricity.

In the global market, the benchmark 10-year Treasury yield moved higher on Friday as investors look ahead to the Federal Reserve's final meeting of the year. Furthermore, Oil prices climbed about 2% on Friday to settle at a three-week high, on expectations that additional sanctions on Russia and Iran could tighten supplies and that lower interest rates in Europe and the U.S. could boost fuel demand.

Back home, the yields on new 10 year Government Stock were trading 12 basis points higher at 6.84% from its previous close of 6.72% on Friday.

The benchmark five-year interest rates were trading 11 basis points higher at 6.77% from its previous close of 6.66% on Friday.

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