Tensions surrounding U.S...............>

AUSSIE BONDS: Tensions surrounding U.S. legislative matters pertaining to Hong

Kong weighed on risk appetite overnight, lending support to the space after a

choppy SYCOM session that was driven by the latest Terry McCrann article and

fresh trade war related angst.

- YM closed +1.5 with XM finishing +5.5. Further curve flattening was evident,

with YM/XM closing at 36.0 after having a brief look above 45.0 last week, with

the cumulative rally in outrights over recent sessions helping to reverse the

momentum seen on the curve.

- The latest round of ACGB 2.50% 21 May 2030 supply was relatively well

received, while local skilled job vacancies fell for a 10th consecutive month in

Oct.

- Bills sit 1 tick lower to 3 ticks higher through the reds.

- Corporate issuance was busy enough: NextEra Energy priced A$500mn worth of

7-Year green bonds at swaps +125bp, Qantas got away A$425mn worth of 10-Year

paper at swaps +180bp & SMBC Sydney launched floating/fixed 3-Year paper at

swaps +78bp.