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Off Early Highs

AUSSIE BONDS

Futures have ticked away from best levels after the early catch-up bid (with reference to Friday's late NY richening in U.S. Tsys) provided some support to the space. YM +1.5 & XM +3.0. Cash ACGBS have seen some bull flattening, with the longer end firming by ~4bp thus far. The latest round of ACGB Nov-24 supply saw solid demand (see earlier bullet for more details), while the RBA stuck to its scheduled round of ACGB purchases, with no need to enforce its YCT mechanism after such purchases were made on Friday and given that favourable prices dynamics (from the point of view of the RBA) have been observed since.

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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