Free Trial

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access

Another Round Of NZGB Cheapening


The negative lead from U.S. Tsys has dragged the NZGB space lower at the NZ open, with RBNZ Governor Orr’s post-FSR appearance in front of parliament (including references to a laser-like focus on returning inflation to target, in addition to another hat tip to the increasing downside risks provided by the global economic backdrop and a note that NZ banks are amongst the most resilient in the world) headlining on the domestic front thus far.

  • Cash NZGBs run ~14bp cheaper across the curve, in what has been a parallel shift, with swap rates lagging the move, resulting in swap spread tightening (another such instance of that dynamic as the impact of the front running of NZGB WGBI index inclusion unwinds).
  • OIS pricing of the RBNZ terminal OCR is incrementally higher this morning, printing just above 5.25%, with ~71bp of tightening still priced for this month’s meeting.
  • The weekly round of NZGB supply (consisting of ’28, ’33 & ’51 bonds) is due today, headlining the remainder of today’s domestic docket.
MNI London Bureau | +44 0203-865-3809 |
MNI London Bureau | +44 0203-865-3809 |

To read the full story

Why Subscribe to


MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.