Bond yields traded higher on Tuesday as Moody's Ratings has projected the Indian economy to grow by 7% in the current fiscal (FY25) and said robust economic expansion will drive growth in insurance premiums. It expects Indian insurers to benefit from sustained premium growth, helped by India’s robust economic expansion and rising demand for health insurance.
In the global market, Oil prices recovered on Monday as supply concerns persisted after Washington imposed two rounds of sanctions in the past two weeks on Russia's energy sector over the Ukraine war.
Back home, the yields on new 10 year Government Stock were trading 9 basis points higher at 6.85% from its previous close of 6.76% on Monday.
The benchmark five-year interest rates were trading 9 basis points higher at 6.79% from its previous close of 6.70% on Monday.
The indicative call rates which closed at 6.63% on Monday, were contributions made from Andhra Bank, AXIS Bank, Bank of America, Bank of Baroda, Bank of India, Canara Bank, J P Morgan Chase, Citibank N.A., Corporation Bank, Credit Agricole Bank, IndusInd Bank, ICICI Bank, ICICI Securities, IDBI Bank, Jammu and Kashmir Bank, Punjab National Bank, RBS, Societe Generale, Standard Chartered, so far.