Aussie Bonds have tracked their........>

AUSSIE BONDS: Aussie Bonds have tracked their global counterparts higher, with

the domestic 3-/10-Year yield differential following the flatter theme in US

Tsys, last dealing around ~56.5bp, while local Bonds outperformance vs US Tsys

has continued/held, with the AU/US 10-Year yield spread last at ~-24.0bp.

- Aussie Bonds were dragged higher as US T-Note futures broke Thursday's highs,

underpinned by media reports noting that the US is ready to slap tariffs on

$50bln worth of Chinese goods, while this isn't particularly new it was enough

to weigh on risk appetite, particularly when coupled with WSJ reports suggesting

that China is ready to retaliate to the tariffs. Although the space is back from

best levels.

- Moody's affirmed Australia's Aaa credit rating & maintained its stable outlook

after hours on Thursday. Elsewhere the AOFM announced its issuance plan for next

week, including 2022, 2029 & 2047 Bonds.

- 3-Month BBSW fixed ~0.9bp lower today, representing the first fix lower since

May 25. The white and red Bill contracts last trade unchanged to 1 tick higher.

- RBA's Ellis is due up shortly.