A Cat Amongst The Pigeons?

YM finished the overnight session 1.0 tick below Sydney settlement levels, with XM unch., as the latter drifted lower into the close of after-hours trade given the month-end related dynamics in the U.S. Tsy space.

• A quick reminder that our policy team's latest RBA insight piece (published during the London morning on Wednesday) highlighted their understanding that "fresh Covid-19 outbreaks and the slow pace of Australia's vaccine rollout are having more of an impact on the economy than the Reserve Bank of Australia expected when it made its most recent forecasts in May, weighing on its calculations as it considers an extension of its yield guidance." A reminder that the clear consensus is that the RBA chooses NOT to roll its 3-Year yield target over to ACGB Nov '24 from ACGB Apr '24 at its July meeting.
• The monthly trade balance and job vacancies readings headline locally on Thursday, with the latest round of scheduled RBA ACGB purchases also due as the new financial year gets underway.