The Australian Office of Financial.....>

AUSSIE BONDS: The Australian Office of Financial Management (AOFM) will today

sell A$500mn of the 2.25% 2.25% 21 May 2028 Bond, issue #TB149.

- The line was last sold on 07 May 2018 for A$400mn. The sale drew an average

yield of 2.7436%, a high yield of 2.7450%, with 24.1% allotted at the high yield

and was covered 4.7250x. There were 28 bidders, 12 of which were successful and

5 were allocated in full.

- The line has $26.3bn outstanding with a modified duration of 8.63 years.

- The Bond forms part of the futures basket for YMU8, which should support

demand.

- The line operates near the recent lows in terms of yield, with the lower for

longer RBA outlook & 10-Year U.S. Tsy yield trading back to 2.81% supporting

demand, as does the lack of relative issuance for the Bond during 2018.

- The line looks fair in ASW & Z-spread terms.

- Results due at 0200BST/1100AEST.