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AUSSIE BONDS

Futures are firmer than settlement levels, aided by the dynamic observed in U.S. Tsys during overnight trade, with another strong long end U.S. Tsy auction supporting the space towards the end of the U.S. day. YM +0.5, XM +3.5, with the latter at the best levels seen since settlement.

  • On the flow side one desk notes that after seeing some initial paying interest in 10-Year swaps during the London morning there was more receiver flow in the belly and back-end of the swap curve, in line with broader price action.
  • RBA E/S surpluses have swelled to yet another fresh all-time high.
  • The latest round of RBA ACGB purchases is the only point of note on the local docket 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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