In the money market, Government bonds jumped on Wednesday sharply owing to a sustained decline in oil prices as well as buying support from the central bank. They are further expected to rally amid a fall in US yields and lower oil prices.
On the global front, Asian stocks advanced on Thursday, tracking a surge on Wall Street, after the chairman of the US Federal Reserve suggested it may nearing an end to its three-year rate tightening cycle, boosting interest in riskier assets.
The dollar struggled and US Treasury yields dipped after Jerome Powell said on Wednesday that US policy rates were “just below” neutral, less than two months after saying rates were probably “a long way” from that point.
MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.8 per cent, said a Reuters report.