Aussie Bonds have held firm in the.....>

AUSSIE BONDS: Aussie Bonds have held firm in the wake of the AOFM's A$1.5bn

auction of the 2.50% 21 May 2030 Bond. When adjusted for the increased size of

the auction the cover ratio actually ticked higher, with the tail holding steady

in terms of length.

- Aussie Bond futures hover just off of the recent cycle/contract lows, as Tsys

hold above Tuesday's session lows, aided by a late 20K FVZ8 block buyer on

Tuesday.

- The domestic 3-/10-Year yield differential continues to edge steeper, last

62.5bp, while the AU/U.S. 10-Year yield spread hovers around ~-35.0bp.

- 3-Month BBSW fixed 0.2bp lower after moving higher over the last 2 fixings,

with the Bill strip last trading unchanged to 2 ticks higher.

- The FOMC's MonPol decision provides the major risk event over the next 24

hours.