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3-Month BBSW Fix Jumps, Bond Futures Just Off Worst Levels

AUSSIE BONDS

YM & XM operate a touch above their respective fresh cycle troughs, with bear flattening still in play as the former prints 8.5 ticks below settlement levels while the latter is 6.5bp cheaper on the day. There has been some focus on BBG headlines surrounding Goldman Sachs’ RBA call change (which includes back-to back 50bp hikes in June and July, with a move to 2.60% by the end of the year), although this was just a rehash of the bank’s note that was issued early in the London afternoon on Tuesday. Elsewhere, 3-month BBSW set 16.8bp higher today, helping apply some fresh pressure to the bill strip, with those contracts sitting 7-10 ticks lower through the reds.

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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