MNI: PBOC Net Drains CNY195.3 Bln via OMO Wednesday

MNI: PBOC Sets Yuan Parity Lower At 7.1868 Weds; -2.18% Y/Y

MNI China Daily Summary: Tuesday, December 24

MNI: JAPAN NOV SERVICES PPI +3.0% Y/Y; OCT UNREV +2.9%

MNI: PBOC Net Drains CNY291.3 Bln via OMO Tuesday

MNI: PBOC Sets Yuan Parity Higher At 7.1876 Tues; -2.11% Y/Y

MNI: US REDBOOK: DEC STORE SALES +5.0% V YR AGO MO

MNI: US DEC PHILADELPHIA FED NONMFG INDEX -6

EZ/UK Bond Supply Calendar: BOE APF Sales Due 6 January

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: Richer, Narrow Ranges, Wages & Jobs Data Next Week

AUSSIE BONDS
RegionGlobalBulletAPACFixed Income BulletsAustraliaMarkets

ACGBs (YM +6.0 & XM +8.5) are stronger after dealing in relatively narrow ranges in today’s data-light Sydney session.

  • (AFR) The total cost of public servant wages grew faster than it has in 15 years last financial year to $232 billion, fuelling economists’ warnings that government spending is helping to keep interest rates higher for longer. Employee expenses are one of the fastest growing areas of government spending, rising 8 per cent over the 2023-24 financial year. (see link)
  • Cash US tsys are ~1bp cheaper in today’s Asia-Pac session after yesterday’s strong reversal off Wednesday's post-election cheaps.
  • Cash ACGBs are 6-8bps richer with the AU-US 10-year yield differential at +23bps.
  • Swap rates are 6-7bps lower, with the 3s10s curve flatter.
  • The bills strip has twist-flattened, with pricing -1 to +6.
  • RBA-dated OIS pricing shows no easing by year-end. A 25bps rate cut is not fully priced until July.
  • On Monday, the local calendar is empty, ahead of Consumer and Business Confidence on Tuesday.  The Q3 Wage Price Index is released on Wednesday followed by the Employment Report for October on Thursday.
  • Next week, the AOFM plans to sell A$800mn of the 2.50% 21 May 2030 bond on Wednesday and A$700mn of the 4.75% 21 April 2027 bond on Friday. 
203 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 +6.0 & XM +8.5) are stronger after dealing in relatively narrow ranges in today’s data-light Sydney session.

  • (AFR) The total cost of public servant wages grew faster than it has in 15 years last financial year to $232 billion, fuelling economists’ warnings that government spending is helping to keep interest rates higher for longer. Employee expenses are one of the fastest growing areas of government spending, rising 8 per cent over the 2023-24 financial year. (see link)
  • Cash US tsys are ~1bp cheaper in today’s Asia-Pac session after yesterday’s strong reversal off Wednesday's post-election cheaps.
  • Cash ACGBs are 6-8bps richer with the AU-US 10-year yield differential at +23bps.
  • Swap rates are 6-7bps lower, with the 3s10s curve flatter.
  • The bills strip has twist-flattened, with pricing -1 to +6.
  • RBA-dated OIS pricing shows no easing by year-end. A 25bps rate cut is not fully priced until July.
  • On Monday, the local calendar is empty, ahead of Consumer and Business Confidence on Tuesday.  The Q3 Wage Price Index is released on Wednesday followed by the Employment Report for October on Thursday.
  • Next week, the AOFM plans to sell A$800mn of the 2.50% 21 May 2030 bond on Wednesday and A$700mn of the 4.75% 21 April 2027 bond on Friday.