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NZGBs Cheaper Ahead Of The Weekend

BONDS

The major NZGB benchmarks finished Friday’s pre-NFP session 9-10bp cheaper.

  • The early weakness saw a mild extension as global core FI markets struggled to catch a bid, with participants zeroed in on the aforementioned U.S labour market report.
  • Swap rates pressed higher, with 2-Year swaps now ~10bp off their cycle high.
  • RBNZ terminal rate pricing nudged 5-10bp higher on the day, with RBNZ dated OIS sitting around 4.80% late in the local session, within the recently observed range.
  • Local headline flow was non-existent.
  • Next week’s domestic data releases include card spending data, REINZ house sales readings, food prices and the manufacturing PMI.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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