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Some Stabilisation After Early Drift?

AUSSIE BONDS

{AU} AUSSIE BONDS Some Stabilisation After Early Drift?

The early Sydney drift lower in futures seems to have stabilised as of typing, with YM +5.5 and XM +3.0 The strong pricing metrics in the ACGB Apr-25 supply (see earlier bullet) will be providing some support to the short end, even though the cover ratio wasn't as encouraging. The belly of the cash ACGB curve outperforms on the day with yields in the 3- to 5-Year zone running 4.5-5.0bp richer at typing (symbolic of the BoE inspired richening), while the shortest and longest points of the curve trade ~1.5bp richer. The RBA SoMP is up next at the bottom of the hour.

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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