Bond yields traded higher on Monday as traders took support with Moody's Ratings’ report stated that India and other major oil-importing nations (China, Japan and South Korea) are likely to pursue bilateral negotiations with Iran to secure energy supplies, potentially through coordinated transit corridors.
In the global market, U.S. Treasury yields climbed to their highest levels in a year on Friday as a spike in oil prices tied to ongoing energy disruptions in the Middle East, inflation concerns and expectations for a stronger economy led investors to reevaluate where interest rates are likely to land. Furthermore, Oil prices rose on Monday after US President Donald Trump warned Iran the ‘clock is ticking’ as talks to bring the war to an end have stalled.
Back home, the yields on new 10 year Government Stock were trading 05 basis points higher at 7.12% from its previous close of 7.07% on Friday.
The benchmark five-year interest rates were trading 04 basis points higher at 6.92% from its previous close of 6.87% on Friday.