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Bond yields trade higher on Thursday

29 May 2025 Evaluate

Bond yields traded higher on Thursday as the size of Reserve Bank of India’s balance sheet as of March 31, 2025 increased by 8.20% year-on year, leading to a bumper dividend of Rs 2.69 lakh crore for the central government.

In the global market, Treasury yields advanced on Wednesday, with the 30-year bond rate touching above a key level as investors parsed the minutes from the Federal Reserve’s policy meeting that took place earlier this month. Furthermore, oil prices gained more than 1% on Wednesday on supply concerns as OPEC+ agreed to leave their output policy unchanged and as the U.S. barred Chevron, opens new tab from exporting Venezuelan crude.

Back home, the yields on new 10 year Government Stock were trading 1 basis point higher at 6.250% from its previous close of 6.240% on Wednesday. 

The benchmark five-year interest rates were trading 1 basis point higher at 5.886% from its previous close of 5.878% on Wednesday.

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