MNI: PBOC Net Injects CNY215.7 Bln via OMO Wednesday

MNI: PBOC Sets Yuan Parity Higher At 7.1991 Weds; +0.73% Y/Y

MNI BRIEF: Aussie Q3 Wages Print At 0.8% Q/Q, 3.5% Y/Y

CHINA PBOC CONDUCTS CNY233 BLN VIA 7-DAY REVERSE REPOS WEDS

CHINA SETS YUAN CENTRAL PARITY AT 7.1991 WEDS VS 7.1927

MNI: US Consumers See Lower Inflation, Better Jobs - NY Fed

Australia Q3 Wage Price Index +0.8% Q/Q

MNI: JAPAN OCT CORP GOODS PRICE INDEX +3.4% Y/Y; SEPT REV +3.1%

EZ/UK Bond Supply Calendar: IT, UK, DE, PO Auction Wednesday

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

MNI EXCLUSIVE: German Turmoil Dashes EU's Joint-Funding Hopes -Officials

FED: Powell's Time Looks Up, Replacement Could Be Less Willing To Cut Rates?

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

AUSSIE BONDS: Very Heavy Ahead Of US CPI Today & Jobs Tomorrow

AUSSIE BONDS
RegionGlobalBulletAPACFixed Income BulletsAustraliaMarkets

ACGBs (YM -10.0 & XM -11.00) are sharply cheaper and at the Sydney session’s worst levels ahead of key US CPI data later today and October jobs tomorrow. 3-year yield climbs 10bps to 4.21%, the highest since 2023.

  • Q3 WPI printed below expectations at 0.8% q/q and 3.5% y/y after 0.8% q/q and 4.1% y/y, lowest since Q4 2022.
  • Cash US tsys are slightly cheaper in today’s Asia-Pac session after yesterday’s heavy session.  
  • Cash ACGBs are 10-11bps cheaper with the AU-US 10-year yield differential at +24bps.
  • Swap rates are 9bps higher.
  • The bills strip has sharply bear-steepened, with pricing -2 to -12.
  • RBA-dated OIS pricing is 2-9bps firmer across the 2025 meeting. A 25bps rate cut is not fully priced until September.
  • Analysts are again forecasting a 25k rise in employment tomorrow but with the unemployment rate steady at 4.1%. The labour market remains tight. The RBA noted in November that “some indicators have recently stabilised”, including hours worked, while the youth unemployment rate and underemployment have “declined”.
  • QTC has priced an A$1.75bn increase of the 4.50% Aug-35 A$ bond. The transaction has a re-offer yield of 5.47%.
184 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 -10.0 & XM -11.00) are sharply cheaper and at the Sydney session’s worst levels ahead of key US CPI data later today and October jobs tomorrow. 3-year yield climbs 10bps to 4.21%, the highest since 2023.

  • Q3 WPI printed below expectations at 0.8% q/q and 3.5% y/y after 0.8% q/q and 4.1% y/y, lowest since Q4 2022.
  • Cash US tsys are slightly cheaper in today’s Asia-Pac session after yesterday’s heavy session.  
  • Cash ACGBs are 10-11bps cheaper with the AU-US 10-year yield differential at +24bps.
  • Swap rates are 9bps higher.
  • The bills strip has sharply bear-steepened, with pricing -2 to -12.
  • RBA-dated OIS pricing is 2-9bps firmer across the 2025 meeting. A 25bps rate cut is not fully priced until September.
  • Analysts are again forecasting a 25k rise in employment tomorrow but with the unemployment rate steady at 4.1%. The labour market remains tight. The RBA noted in November that “some indicators have recently stabilised”, including hours worked, while the youth unemployment rate and underemployment have “declined”.
  • QTC has priced an A$1.75bn increase of the 4.50% Aug-35 A$ bond. The transaction has a re-offer yield of 5.47%.