Aussie bonds were subjected to the.....>

AUSSIE BONDS: Aussie bonds were subjected to the broader ebb & flow, recovering

from lows. YM -0.5, XM -1.5.

- Participants are already looking to Treasurer Frydenberg's fiscal update (due

Thursday). Weekend commentary saw FinMin Cormann point to some adjustments to

the JobKeeper scheme, while the Treasurer confirmed the extension of the scheme

beyond the initially scheduled expiry (end of September). The AFR has pointed to

a "tiered payment structure linked to workers' pre-COVID-19 income. The

tightening of eligibility criteria through more frequent testing of business

turnover is also appropriate." The AFR also noted that "reopened viable small

and medium businesses will now be encouraged to invest in future job growth and

the recovery by taking advantage of a revamped SME guarantee scheme offering

low-interest loans of up to $1 million over a five-year term." Worth noting that

Melbourne will be enforcing mandatory mask wearing in public in the coming days,

while the NSW government continues to focus on the local COVID-19 situation.

- A$2.0bn of ACGB 2.25% 21 Nov 2022 supply passed smoothly enough, stopping

through mid at the time of the supply.