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Off Best Levels

AUSSIE BONDS

Weakness in U.S. Tsys seemed to facilitate a pullback from best levels in the ACGB space, with in line domestic data having little in the way of impact on the space.

  • Softer than expected Chinese PMI data also had little tangible impact on the space, outside of an incremental bid.
  • YM -2.0 & XM -4.0 at typing, with the 7- to 12-Year zone leading the weakness in wider cash ACGB trade.
  • EFPs are wider on the day, pointing to payside flow in swaps applying some pressure.
  • Bills run 3-9bp cheaper through the reds, steepening.
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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