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BONDS: Morgan Stanley On Asia Pac Month End Bond Extensions

BONDS

Morgan Stanley: "Japan: We expect the 1y+ JGB index to extend by 0.023y in September, compared to an average
month’s extension range of ~0.02-0.06y. A total of ~¥10.1 trillion of issuance will affect
the extension and ¥3.1 trillion worth of JGBs will be reinvested. Exhibit 13 shows the
estimated amount to be reinvested in various maturities based on weights of the
outstanding issues.

 Australia: We expect the 1y+ ACGB index to extend by 0.007y in September, compared to an
average September extension of 0.017y and an average month's extension of 0.074y. A
total of about A$5.2 billion of issuance will affect the extension and there are no bonds
falling out of the 1y+ index. The ACGB All Stocks Index will extend by 0.01y.
 
New Zealand: We expect the 1y+ NZGB index to extend by 0.004y in September, lower than an average
September extension of 0.03y and an average month's extension of 0.029y. A total of
about NZ$2 billion of issuance will affect the extension and there are no bonds falling out
of the index. The NZGB All Stocks index will extend by 0.009y." 
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Morgan Stanley: "Japan: We expect the 1y+ JGB index to extend by 0.023y in September, compared to an average
month’s extension range of ~0.02-0.06y. A total of ~¥10.1 trillion of issuance will affect
the extension and ¥3.1 trillion worth of JGBs will be reinvested. Exhibit 13 shows the
estimated amount to be reinvested in various maturities based on weights of the
outstanding issues.

 Australia: We expect the 1y+ ACGB index to extend by 0.007y in September, compared to an
average September extension of 0.017y and an average month's extension of 0.074y. A
total of about A$5.2 billion of issuance will affect the extension and there are no bonds
falling out of the 1y+ index. The ACGB All Stocks Index will extend by 0.01y.
 
New Zealand: We expect the 1y+ NZGB index to extend by 0.004y in September, lower than an average
September extension of 0.03y and an average month's extension of 0.029y. A total of
about NZ$2 billion of issuance will affect the extension and there are no bonds falling out
of the index. The NZGB All Stocks index will extend by 0.009y."