Bond yields traded lower on Monday, as Reserve Bank of India (RBI) data showed that the country's foreign exchange reserves declined by $2.986 billion to reach $579.285 billion in the week ended March 26. In the previous week ended March 19, the forex kitty had increased by $233 million to $582.271 billion. It had touched a record high of $590.185 billion in the week ended January 29, 2021.
In the global market, Shorter-dated U.S. Treasury yields rose on Friday, flattening the yield curve, after the Labor Department reported stronger-than-forecast jobs growth in March. Further, oil prices slipped, paring strong gains made in the previous session after OPEC+ agreed last week to gradually ease some of its production cuts between May and July.
Back home, the yields on new 10 year Government Stock were trading 4 basis points lower at 6.13% from its previous close of 6.17% on Wednesday.
The benchmark five-year interest rates were trading 12 basis points lower at 5.58% from its previous close of 5.70% on Wednesday.