Roll-Impacted Dealings, Narrow Ranges, Light Local Calendar Tomorrow

In roll-impacted dealings, ACGBs (YM -7.2 & XM -7.7) are holding weaker and at or near Sydney session lows. Trading ranges have been however relatively narrow.

• There hasn’t been much in the way of domestic drivers to flag, outside of the previously outlined CBA Household Spending. This represented the final data update before the forthcoming RBA Policy Decision scheduled for next Tuesday.
• (Bloomberg) -- Australia’s household spending declined in February, the nation’s largest lender said, as the Reserve Bank’s interest-rate increase late last year weighed further on consumer activity. (See link)
• Cash US tsys are dealing ~1bp richer in today’s Asia-Pac session after yesterday’s 5-6bps cheapening following February’s US CPI print. Looking ahead, the main focus is on Thursday's Retail Sales and PPI data.
• Cash ACGBs are 7-8bps cheaper, with the AU-US 10-year yield differential 2bps higher at -12bps.
• Swap rates are 7-8bps higher.
• The bills strip has bear-steepened, with pricing -2 to -8.
• RBA-dated OIS pricing is flat to 5bps firmer across meetings, with late-24 leading. A cumulative 44bps of easing is priced by year-end.
• Tomorrow, the local calendar is empty.