Firmer Overnight As Global Worries Linger

The rally in wider core global FI markets, fleshed out previously, allowed Aussie bond futures to tick higher in the overnight session, leaving YM +4.0 and XM +6.5 early in Sydney dealing, just shy of their respective overnight highs, better bid as domestic participants react to overnight moves. Bills run 3-8bp richer through the reds.

• It will be another session that will see participants weigh up the offshore impetus during the early rounds of dealing, with little in the way of meaningful domestic news flow to digest in the time since the Sydney close.
• Focus will then turn to domestic data, with the NAB business survey, Westpac consumer confidence reading and CBA household spending data headlining domestic matters today.