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Aussie Bonds futures edged back from...>

AUSSIE BONDS
AUSSIE BONDS: Aussie Bonds futures edged back from their SFE session highs
during SYCOM hours but remained underpinned by the prospects of impending RBA
rate cuts, after Governor Lowe put the possibility of a June rate cut firmly on
the table on Tuesday.
- YM last -1.0 tick, XM -1.5 ticks. YM/XM trades at 47.5 ticks, with the cash
equivalent at 44.5bp.
- Bills trade 1-2 ticks lower through the reds.
- OIS price a ~70% chance of a June rate cut from the RBA, with IBs pricing a
90% chance of such an outcome.
- Focus today will fall on completed construction work and job vacancies data.
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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