Bond yields traded flat on Wednesday after rating agency ICRA has projected India’s Gross domestic product (GDP) growth to moderate to 7 per cent in July-September period of FY26 (Q2FY26), from 7.8 per cent in the previous quarter, amid lower government spending. Indian economy had expanded 5.6 per cent in the Q2 (July-September) of 2024-25 fiscal.

In the global market, yield on the 10-year Treasury dipped on Tuesday as investors prepared for the release of delayed jobs data after the 43-day government shutdown ended. Furthermore, oil prices settled higher on Tuesday after a choppy session as traders weighed the impact of Western sanctions on Russian oil flows, as well as U.S. President Donald Trump saying his administration had started interviewing for the next Federal Reserve chair.

Back home, the yields on new 10 year Government Stock were trading flat with its previous close of 6.52% on Tuesday.  

The benchmark five-year interest rates were trading 1 basis point lower at 6.19% from its previous close of 6.20% on Tuesday.