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Supply Easily Absorbed

AUSSIE BONDS

Today's ACGB Sep '26 supply was easily digested, with the weighted average yield printing 0.62bp through prevailing mids (per Yieldbroker pricing) as the cover ratio firmed vs. the prev. auction of the line (even when we account for the downtick in the notional on offer at today's auction). It would seem that the supportive factors we highlighted in our auction preview underscored demand. YM & XM continue to hold to narrow ranges, unch. and +1.5 on the day respectively. Domestic focus is on the preliminary retail sales release, which will hit at the bottom of the hour, while the weekly AOFM issuance schedule will be released in just under an hour's time.

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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