Bond yields traded higher on Monday even as crude oil prices surged after the US and Iran rejected each other’s peace proposals aimed at ending the ongoing conflict in the Middle East.
In the global market, U.S. Treasury yields edged lower Friday as investors looked past a solid April jobs report and focused instead on the prospects for peace in the Middle East that would further ease energy prices and dim inflationary pressure in the economy. Furthermore, Oil prices jumped on Monday after U.S. President Donald Trump called Iran’s response to a U.S. peace proposal ‘totally unacceptable’, keeping geopolitical risks elevated.
Back home, the yields on new 10 year Government Stock were trading 05 basis points higher at 7.03% from its previous close of 6.98% on Friday.
The benchmark five-year interest rates were trading 08 basis points higher at 6.77% from its previous close of 6.69% on Friday.
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