Impetus from the U.S. Tsy space,.......>

AUSSIE BONDS: Impetus from the U.S. Tsy space, continued optimism re: the

potential for an economic bounceback/gradual lockdown removal and pre-ACGB 2032

auction concession have facilitated further steepening of the curve, with YM

unchanged and XM -4.5 at typing, with the latter just off its early Sydney lows.

Paying observed in the back end of the swap curve would have also helped this

dynamic.

- Bills running unchanged to 1 tick lower through the reds, with the overnight

cash rate fixing 1bp lower at 0.13%, a fresh all time low and just 3bp above the

rate paid on surplus ES account balances.

- A market source has flagged various accounts looking to fade the recent move

in BBSW/OIS via various forms of paying in BOB spreads.

- The aforementioned ACGB auction headlines the local docket today.