Futures continue to operate around.....>

AUSSIE BONDS: Futures continue to operate around best levels ahead of the

release of the RBA's July meeting minutes at the bottom of the hour, with YM

+2.5 ticks and XM +5.0 ticks at writing. Curve holds flatter as a result, with

YM/XM at 45.5 ticks and the cash equivalent at 41.7bp.

- Bills trade 1-2 ticks higher through the reds.

- Traders will look for further details surrounding the RBA's forward guidance

when the minutes are released at the bottom of the hour. RBA Governor Lowe has

previously noted that the outlook remains "reasonable" and that the RBA stands

ready to act if required. This came after the RBA noted that the "Board will

continue to monitor developments in the labour market and adjust monetary policy

if needed to support sustainable growth in the economy and the achievement of

the inflation target over time" in the statement that accompanied the most

recent decision, which resulted in the Bank delivering a second 25bp cut in as

many meetings.