Bond yields remain almost unchanged on Monday

The yields on 10-year benchmark 8.79% - 2021 declined by 1 basis point to 8.15% from its previous close

Bond yields were almost unchanged from its previous close in spite of positive talk surrounding the likely rate cut by the Reserve Bank of India (RBI) in its upcoming monetary policy review on Oct 30. However, Brent crude declined for a second straight session below $112 per barrel, on concerns of a weak global economy.

On the global front, US Treasuries prices fell on Friday as an unexpected drop in the US jobless rate helped boost expectations for an improving economy and as dealers prepared for new long-dated debt sales next week. Meanwhile, oil prices fell in volatile trading on Friday and posted weekly losses as a fragile global economy and uncertainty about Europe's debt crisis offset support from a better-than-expected US employment report.

The yields on 10-year benchmark 8.79% - 2021 declined by 1 basis point to 8.15% from its previous close of 8.16%.

The benchmark five-year interest rates were down by 1 basis point at 6.99% from its previous close.

The Reserve Bank of India has announced the auction of 91-day and 182-day Government of India Treasury Bills for notified amount of Rs 5,000 crore each respectively. The auction will be conducted on October 10, 2012 using 'Multiple Price Auction' method.