Aussie Bonds have edged away from......>

AUSSIE BONDS: Aussie Bonds have edged away from SYCOM closing levels, although

they lagged Tsys on the latest move higher with the AU/U.S. 10-Year spread

hovering around -29.5bp, while the domestic 3-/10-Year curve continues to

flatten.

- The space followed U.S. Tsys higher on SYCOM on the back of chatter suggesting

that U.S. Pres. Trump was unhappy with Fed MonPol under Powell i.e. less easy

money, which was later confirmed.

- On the AU political front Peter Dutton has resigned from his role in the

Australian cabinet after losing the leadership spill within the Liberal Party.

Eyes now on the lookout for any other resignations from within the cabinet.

- Bills last trade 2-3 ticks lower, with 3-Month BBSW fixing 0.3bp higher today.

- The RBA minutes & comments from Gov. Lowe offered little in the way of fresh

material information. Focus now moves to AU Q2 completed construction work due

later this week, as well as the Fed minutes & Jackson Hole Symposium and

comments from RBA Asst. Gov. Debelle.