Bond yields traded higher on Wednesday as Reserve Bank of India (RBI) decided to conduct open market operation (OMO) purchase auction of Government of India securities for an aggregate amount of Rs 50,000 crore to be held on March 25, 2025. The central bank will purchase Government securities through a multi-security auction using the multiple price method.
In the global market, benchmark 10-year Treasury yield was lower Tuesday as investors looked ahead to the Federal Reserve’s monetary policy decision Wednesday. Furthermore, oil prices held near a two-week high on Tuesday as instability in the Middle East increased the risk of supply disruptions, while China's plans for more economic stimulus could boost fuel demand in the world's second biggest economy.
Back home, the yields on new 10 year Government Stock were trading 10 basis points higher at 6.77% from its previous close of 6.67% on Tuesday.
The benchmark five-year interest rates were trading 10 basis points higher at 6.67% from its previous close of 6.57% on Tuesday.
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