Futures A Touch Below Settlement

Aussie bonds drifted lower in the wake of the firmer than expected official PMI readings out of China and stronger than expected local building approvals data, with the pressure applied to U.S. Tsys also noted. Futures have corrected from worst levels, although there is little in way of support seen from the previously flagged "modest" month-end extension for local bond market indices.

• A reminder that today's ACGB Nov '31 supply wasn't the firmest in pricing terms, with the weighted average yield 'only' 0.19bp through prevailing mids at the time of supply, but was still smoothly absorbed (especially when you adjust the bid/cover ratio for increased auction size vs. the prev. offering).
• YM -0.5, XM -2.0. The 10- to 12-Year zone of the curve underperforms in cash ACGB trade.
• There is plenty of note on Thursday's local docket, which of course comes ahead of the elongated Easter weekend. M'fing PMIs, retail sales, job vacancies, CoreLogic house prices, trade balance & housing finance data are all due to hit.