ANZ note that "the RBA normally has....>

AUSSIE BONDS: ANZ note that "the RBA normally has A$10.5bn of OMO

maturities/week (~A$42bn/month). Current maturities for Oct are A$46bn & we exp.

this to rise, meaning large rollovers should keep repo rates elevated. BBSW has

been largely static for the last month, bank deposit data is out in coming days

& may shed light on the non-move. Oct maturities & coupons are sig & could drive

some demand for the mid-curve. Kangaroo issuance has started to pick up after

the summer, x-ccy basis levels are attractive to issue in AUD, though this is

waning. Modestly narrower swap spds make Semis look marginally more attractive.

ACGB issuance has been running at a slow pace, which has richened bonds to swap.

Oct sees a large maturity profile for ACGB/Semis. Watch for new issuance into

the cash flows. Recent issuance has slowed, which is normal as banks hit their

FY ends. In IRS, modest steepening in the belly has seen fly trades hurt for

received positions. Australian yields have followed global beta higher & are at

multi-month highs. Nonetheless, they look rich vs. the bond proxy of utility

stocks div yield. JPY based investors will start the H2 of their FY on 1 Oct.

Outright yields are tempting, with AUD/JPY hovering at multi-year lows."