MNI BRIEF: Trump Likely To Let Powell Serve Full Term-Moore

MNI BRIEF: Canada Household Debt Tops $3 Trillion In 3Q

MNI BRIEF: Trump Likely To Allow Powell To Serve Term - Moore

MNI BOJ DEC TANKAN LARGE MFG INDEX +14; SEPT 13; MEDIAN +12

MNI INTERVIEW2: Poland To Push For EU Defence Fund

MNI BRIEF: China To Keep Stabilising Housing Market - CEWC

MNI: UK DEC GFK CONSUMER CONFIDENCE INDEX -17

EZ/UK Bond Supply Calendar: Belgium ORI Facility on Friday

US EIA:NAT GAS STORAGE -190 BCF TO 3,747 BCF DEC 06 WK

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

AUSSIE BONDS: Little Changed After Yesterday’s Post-RBA Rally

AUSSIE BONDS
RegionGlobalBulletAPACFixed Income BulletsAustraliaMarkets

ACGBs (YM -1.0 & XM flat) are little changed after yesterday’s solid post-RBA-Decision rally. Cash ACGBs sit 7-9bps richer than pre-RBA levels, with the AU-US 10-year yield differential at +16bps. 

  • Overnight, the US tsy curve bull-steepened, with yields finishing 1-5bps lower.
  • There was a 2-year $69 billion bond auction overnight which drew the expected yield of 3.520%, with a bid/cover ratio slightly down from prior at 2.590x.
  • Projected rate cuts into early 2025 gain traction, latest vs. Tuesday morning levels (*) as follows: Nov'24 cumulative -39.8bp (-38.5bp), Dec'24 -78.6bp (-74.4bp), Jan'25 -113.0bp (-108.0bp).
  • Looking ahead to today's session: MBA Mortgage apps, New Home Sales and $70B 5Y supply.
  • Swap rates are flat to 1bp higher, with the 3s10s curve flatter.
  • The bills strip has bull-flattened, with pricing flat to -2.
  • RBA-dated OIS pricing is 6-10bps softer than pre-RBA levels. A cumulative 17bps of easing is priced by year-end.
  • August CPI is released today with the headline forecast to moderate to 2.7% from 3.5% driven by federal government electricity subsidies. As a result, the trimmed mean will be the focus and was at 3.8% in July.
  • The AOFM plans to sell A$1.bn of the 3.75% 21 May 2034 bond. 
193 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.

ACGBs (YM -1.0 & XM flat) are little changed after yesterday’s solid post-RBA-Decision rally. Cash ACGBs sit 7-9bps richer than pre-RBA levels, with the AU-US 10-year yield differential at +16bps. 

  • Overnight, the US tsy curve bull-steepened, with yields finishing 1-5bps lower.
  • There was a 2-year $69 billion bond auction overnight which drew the expected yield of 3.520%, with a bid/cover ratio slightly down from prior at 2.590x.
  • Projected rate cuts into early 2025 gain traction, latest vs. Tuesday morning levels (*) as follows: Nov'24 cumulative -39.8bp (-38.5bp), Dec'24 -78.6bp (-74.4bp), Jan'25 -113.0bp (-108.0bp).
  • Looking ahead to today's session: MBA Mortgage apps, New Home Sales and $70B 5Y supply.
  • Swap rates are flat to 1bp higher, with the 3s10s curve flatter.
  • The bills strip has bull-flattened, with pricing flat to -2.
  • RBA-dated OIS pricing is 6-10bps softer than pre-RBA levels. A cumulative 17bps of easing is priced by year-end.
  • August CPI is released today with the headline forecast to moderate to 2.7% from 3.5% driven by federal government electricity subsidies. As a result, the trimmed mean will be the focus and was at 3.8% in July.
  • The AOFM plans to sell A$1.bn of the 3.75% 21 May 2034 bond.