Aussie bonds operate near best.........>

AUSSIE BONDS: Aussie bonds operate near best levels after the RBA reiterated its

stance re: MonPol in the release of the minutes from its July meeting. The

Bank's outlook is heavily dependent on the evolution of the labour market, and

the majority of the RBA's commentary surrounding the matter was relatively

downbeat (for more detail see RBA: ### POV: STILL ALL ABOUT THE LABOUR MARKET,

SHOULD HOLD IN AUGUST)

- YM last +4.0 ticks, with XM +6.5 ticks, resulting in a flatter curve. YM/XM

trades at 46.5 ticks, with the cash equivalent at 42.1bp.

- Bills deal 1-3 ticks higher through the reds.

- RBA repo ops saw A$500mn worth of 14-day ops dealt at an average of 1.250%,

with A$595mn worth of 22-day ops dealt at an average of 1.259% & A$967mn worth

of 43-day ops dealt at an average of 1.265%.

- Focus tomorrow turns to A$1.6bn worth of ACGB 1.50% 21 Jun 2031 supply, which

will be followed up with the release of June's labour market report on Thursday.