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NZGBs: Curve Flattens On Wednesday

BONDS

NZGBs have finished dealing 1bp cheaper to 5bps richer across the major benchmarks, the curve has twist flattened pivoting on 5s.

  • An uptick in US Tsys has provided a level of support to the belly and long end of the curve today.
  • Rising Oil prices and an uptick in ANZ Consumer Confidence perhaps weighed on the short end which underperformed today.
  • The New Zealand Government pledged to cut spending and return the budget to surplus in 2024 despite a slowdown in economic growth, in its half-year economic and fiscal outlook.
  • A reminder that the local docket is empty for the remainder of the week.

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