Bond yields traded lower on Thursday despite rating agency Icra in its Macro Update June 2025 has retained India's Gross Domestic Product (GDP) growth forecast for fiscal 2025-26 (FY2026) at 6.2 per cent, assuming well-distributed monsoons and crude oil prices averaging around $70/barrel

In the global market, U.S. Treasury yields were near flat on Wednesday as investors monitored the Israel-Iran ceasefire and parsed Federal Reserve Chairman Jerome Powell's second day of testimony before Congress. Furthermore, oil prices edged higher on Wednesday, finding some respite after plummeting in the last two sessions, as investors assessed the stability of a ceasefire between Iran and Israel.

Back home, the yields on new 10 year Government Stock were trading 2 basis point lower at 6.26% from its previous close of 6.28% on Wednesday. 

The benchmark five-year interest rates were trading flat with its previous close of 6.01% on Wednesday.