Futures moved higher in the wake of....>

AUSSIE BONDS: Futures moved higher in the wake of RBA Gov. Lowe's speech, but

now sit shy of highs. YM +3.5, XM +5.5, leaving the curve flatter on the day.

- Lowe pointed to a lower for longer rate environment, with the possibility of

additional rate cuts, if needed. Lowe used the phrase "whether or not further

monetary easing is needed, it is reasonable to expect an extended period of low

interest rates." The use of the word "extended" is very Draghi-esque, but has

also been employed by BoJ Gov. Kuroda. Lowe was quick to suggest that the RBA

isn't moving towards forward guidance. Lowe stressed that he is trying to be as

transparent as possible re: MonPol when batting away the idea of fwd guidance in

the Q&A, but the language used could be viewed in that manner, if you ask me.

- Lowe also noted that evidence doesn't support a change of the Bank's inflation

target, but that there "might be some drafting changes in the wording of the

MonPol agreement," we would suggest that this would likely be superficial.

- Bills trade 2-4 ticks higher through the reds.

- The AOFM's issuance schedule provides the highlight of the domestic docket on

Friday.