Outright Bond futures have ticked......>

AUSSIE BONDS: Outright Bond futures have ticked away from the SYCOM/early SFE

lows, with T-Notes also edging away from worst levels. Soft AU Westpac consumer

confidence data will also underpin the space. The domestic 3-/10-Year yield

differential hovers around ~58.0bp, while the AU/U.S. 10-Year yield spread has

moved to -38.5bp, with the longer running theme of outperformance in AU paper

vs. Tsys holding true.

- Focus remains on corporate issuance, with press reports that AT&T's touted

Kangaroo Bond could be sized up to A$2bn, elsewhere GPT Re. launched A$100bn

worth of 6-Year paper and SocGen mandated banks for 5-Year A$ paper. On the

semi/muni front the SAFA taps book-build split is roughly A$700m for the Sep '22

line and A$770mn for the July '26 line, with guidance for Sep '22 set at 41bps

EFP (37.75bp vs. ACGB Jul '22), and at 37bps EFP (49.75bp vs. the ACGB Apr '26)

for July '26.

- The Bill strip last trades unchanged to a tick higher after 3-Month BBSW fixed

~0.3bp higher today.

- Focus turns to the AOFM selling A$1.0bn of the 2.25% 21 May '28 Bond #TB149.