Bond yields rise from its four-month low level on reports of issuance of new 10-year bond

Bond yields rose from its four month low level following report that the central bank is expected to issue a new 10-year bond later this month, which will be replacing the existing 8.83% bonds maturing in 2023 as the benchmark. However, the finance ministry has yet to make its final decision, nevertheless the approval just seems to be a formality given the government has traditionally gone along with recommendations issued by the central bank as the country's debt manager.

On the global front, U.S. Treasuries prices gained on Thursday after the European Central Bank cut interest rates to record lows and announced new measures meant to help stimulate the region's economy. Meanwhile, Brent nudged higher to hover just under $109 a barrel on Friday, but was set to post a second straight weekly fall on easing Ukraine tensions and ample supply

Back home, the yields on new 10 year Government Stock 2023 were trading 2 basis points higher at 8.55% from its previous close of 8.53% on Thursday.

The benchmark five-year interest rate swaps were trading unchanged at its previous close of 7.75% on Thursday.