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JGB TECHS

(U1) Tilted Higher

AUSSIE 10-YEAR TECHS

(U1) Uptrend Weakening

US TSYS SUMMARY

Bullard Kickstarts Reflation Unwind Theme

AUDUSD TECHS

Fresh 2021 Lows

Futures continue to be underpinned.....>

AUSSIE BONDS
AUSSIE BONDS: Futures continue to be underpinned by a ratcheting up in trade war
matters over the weekend, operating in a tight range, at/just above SYCOM highs
in early dealing this week. Also worth noting that China's Commerce Ministry
announced that it is launching an anti-dumping investigation on imported barley
from Australia. Some suggested that this will be interpreted as retaliation for
the AU-U.S. security deal that was signed over the weekend.
- A softer 10-Year basket bond auction did little to alleviate the bid, despite
some modest sell side flow being registered in the 3-Year space shortly after
the results hit.
- The domestic 3-/10-Year cash yield differential trades ~0.5bp flatter at
~58.5bp last, while the AU/U.S. 10-Year yield spread sits at ~-40.5bp, with AU
paper lagging Tsys' move from Friday.
- University Of Sydney launched A$ 25-Year paper at an indicative yield of 4.5%.
- Bills trade 1 tick lower to 2 ticks higher through the whites & reds, while
3-Month BBSW fixed 0.1bp lower today.
- Focus on broader risk tones ahead of RBA mins & RBA Gov. Lowe speech tomorrow.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com