Space bid to fresh intraday highs......>

AUSSIE BONDS: Space bid to fresh intraday highs after the RBA's Nov meeting

minutes noted that "the Board agreed that a case could be made to ease monetary

policy at this meeting, but that the most appropriate approach would be to

maintain the current stance of monetary policy and to make another full

assessment once more evidence of the effects of the earlier monetary easing had

become available." However, the Board also cautioned that "they also discussed

the possibility that a further reduction in interest rates could have a

different effect on confidence than in the past, when interest rates were at

higher levels."

- As mentioned earlier, RBA Governor Lowe will speak on "Unconventional Monetary

Policy: Some Lessons from Overseas" in a weeks time.

- YM +3.5 last, with XM +4.0 at/just shy of best levels.

- Bills unch to +4 ticks through the reds.