Early focus fell on one of the.........>

AUSSIE BONDS: Early focus fell on one of the weaker ACGB auctions in recent

times & mixed messaging re: the Sino-Australian relationship over the weekend.

On the latter, it would seem the two parties are in discussions ahead of

Tuesday's decision re: China imposing tariffs on Australian barley exports. YM

+0.5 & XM unch. after some early weakness, perhaps ahead of the aforementioned

ACGB '28 supply (which still passed smoothly) & against the broader uptick in

global equities. Elsewhere on the issuance front we saw Western Australia launch

the new A$ 2031 line it mandated for back on Friday, while Credit Suisse

mandated for a potential 3-Year unsecured A$ round of issuance.

- Finally, the latest ABS household survey from noted "found that the proportion

of people in the panel reporting they had a job had increased by 0.8 percentage

points over the month, from the lowest point in the first week of April, up to

64.2%. The proportion of people indicating that they had worked paid hours also

increased, by 3.2 percentage points, up to 59.0%. While these increases were not

statistically significant, given the margin of error, it may indicate some

improvement in labour market conditions." Could that be a glimmer of hope?