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Aussie bonds were higher heading in....>

AUSSIE BONDS
AUSSIE BONDS: Aussie bonds were higher heading in to the close, with the 3-Year
future up 1.0 tick at 97.87 while the 10-Year future is up 2.5 ticks at 97.155.
The space digested a solid auction of one of the 10-year futures basket
constituents, as the curve flattened. The 3-/10-Year spread 2.1bp flatter on the
session moves seen in US Treasury dealing, while the AU/US 10-Year spread
operated within 0.5bp either side of 0.03%. In terms of the shorter end, the
white bill contracts are unchanged, despite a late bought of selling in the
front month. Market participants are likely to focus on the US CPI release on
Wednesday, before the release of the domestic labour market report on Thursday.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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