Bond yields traded lower on Monday, on bets that a weak gross domestic product growth print in the fiscal third quarter may lead to easy monetary policy conditions for longer duration.
In the global market, U.S. Treasury yields subsided in cautious trading on Friday as investors repositioned a day after a watershed rate surge, but growth concerns weighed on sentiment as data showed a strong rebound in consumer spending. Furthermore, oil prices rose more than $1 on optimism in the global economy thanks to progress in a huge U.S. stimulus package and on hopes for improving oil demand as vaccines are rolled out.
Back home, the yields on new 10 year Government Stock were trading 1 basis point lower at 6.21% from its previous close of 6.22% on Friday.
The benchmark five-year interest rates were trading 1 basis point lower at 5.76% from its previous close of 5.77% on Friday.