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Bond yields trade lower on Tuesday

16 Dec 2025 Evaluate

Bond yields traded lower on Tuesday as HSBC Flash India Composite Output Index - a seasonally adjusted index that measures the month-on-month change in the combined output of India's manufacturing and service sectors - fell to 10-month low of 58.9 in December from 59.7 in November 2025, growing at its slowest pace since February.

In the global market, U.S. Treasury yields moved lower on Monday as investors looked ahead to several economic reports this week, which will offer insight into the state of the jobs market, inflation and retail sales. Furthermore, oil prices slid on Monday as investors balanced disruptions linked to escalating U.S.-Venezuelan tensions with oversupply concerns and the impact of a potential Russia-Ukraine peace deal.

Back home, the yields on new 10 year Government Stock were trading 1 basis point lower at 6.58% from its previous close of 6.59% on Monday.  

The benchmark five-year interest rates were trading flat with its previous close of 6.32% on Monday.

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