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Bond yields trade lower on Tuesday

03 Feb 2026 Evaluate

Bond yields traded lower on Tuesday amid US President Donald Trump, after a phone conversation with Prime Minister Narendra Modi, has said that India and the US have agreed to a trade deal under which Washington will bring down reciprocal tariff on Indian goods to 18 per cent from current 25%.

In the global market, U.S. Treasury yields moved higher on Monday as investors digested the latest economic data and continued to weigh the impact of President Donald Trump’s Federal Reserve chair pick. Furthermore, oil prices slumped on Monday from a five-month high at the end of last week, after the most recent tensions between the United States and Iran appeared to have eased.

Back home, the yields on new 10 year Government Stock were trading 4 basis points lower at 6.72% from its previous close of 6.76% on Monday. 

The benchmark five-year interest rates were trading 5 basis points lower at 6.52% from its previous close of 6.57% on Monday.

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