Bond yields traded flat on Friday, as Reserve Bank stated that it will ensure that system-level liquidity remains comfortable during 2021-22 in alignment with the stance of monetary policy, and monetary transmission continues unimpeded while maintaining financial stability
In the global market U.S. Treasury yields advanced on Thursday, bolstered by a New York Times report saying President Joe Biden will announce on Friday a $6 trillion budget for 2022, the largest spending since the second world war, fueling supply concerns. Furthermore, oil prices pushed higher, supported by firm U.S. economic data and expectations of a strong rebound in global fuel demand in the third quarter, while concerns eased about the impact of any return of Iranian supplies.
Back home, the yields on new 10-year Government Stock were trading flat with its previous close of 5.98% on Thursday.
The benchmark five-year interest rates were trading flat with its previous close of 5.53% on Thursday.