AUCTION PREVIEW: The Australian........>

AUSSIE BONDS: AUCTION PREVIEW: The Australian Office of Financial Management

(AOFM) will today sell A$150mn of the 0.75% 21 November 2027 I/L Bond, issue

#CAIN414. The line was last sold on 25 February 2020 for A$100mn. The sale drew

an average yield of -0.4045%, at a high yield of -0.4000% and was covered

4.5500x. There were 37 bidders, 10 of which were successful and 7 were allocated

in full. Amount allotted at highest yield as percentage of amount bid at that

yield was 5.9%.

- This is a minor event, given the syndication of the new ACGB Nov '25. Still,

breakevens are well off of their cycle lows, with recent I/L auctions

comfortably covered, although the developed world era of low-flation looks set

to continue for the foreseeable, so we shouldn't expect anything in the way of

particular standout demand at I/L auctions for now.

- Results due at 0200BST/1100AEST.