The 3-Year Aussie bond closed at.......>

AUSSIE BONDS: The 3-Year Aussie bond closed at 97.890 and the 10-Year closed at

97.2250, both at levels last seen mid September after moving higher on SFE, not

only were we hearing of block trading on the IB strip, China PPI data came in up

6.9% from 6.3% prior and was surveyed at 6.4%.

- Both contracts moved higher on SYCOM alongside Tsy's which took a bid on

better than expected CPI data. 

- There was no domestic data out today but Tuesday's SFE will see the release of

the RBA's minutes where RBC have said they expect more detail on RBA's thinking

on investments and conditions. Labour data is scheduled to be released on

Thursday, last month it was surprisingly strong.

- Yields are all currently down, spreads widening on the session, the 3-Year

down 2.8bp and the 10-Year down 4.6bp.