Bond yields traded lower on Thursday as the seasonally adjusted HSBC India Services PMI Business Activity Index slowed down to 58.9 in October from 60.9 in September. Further, the HSBC India Composite PMI Output Index -- which measures both manufacturing and services -- also eased to 60.4 in October as against 61.0 in September.

In the global market, treasury yields rose broadly on Wednesday following the release of U.S. strong data, while the U.S.′ top court signaled skepticism around the legality of the Trump administration’s tariffs. Furthermore, Oil prices eased on Wednesday as investors digested weaker economic data from top oil importers, but an expected drop in US fuel inventories limited further losses.

Back home, the yields on new 10 year Government Stock were trading 3 basis points lower at 6.50% from its previous close of 6.53% on Tuesday. 

The benchmark five-year interest rates were trading 1 basis point lower at 6.15% from its previous close of 6.16% on Tuesday.