The Australian Office of Financial.....>

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

sell A$700mn of the 3.25% April 21 2029 Bond, issue #TB138.

- The line was last sold on November 19 for A$1.0bn. The sale drew an average

yield of 2.6596%, a high yield of 2.6625% and was covered 2.5650x. There were 33

bidders, 22 of which were successful and 14 were allocated in full. Amount

allotted at highest accepted yield as percentage of amount bid at that yield was

16.2%.

- The line has $25.2bn outstanding with a modified duration of 8.80 years.

- The bond constitutes part of the deliverable basket for XMZ8.

- The line's yield has operated in a ~29bp range in the time since the most

recent auction, last sitting at the bottom of that range at 2.4427%, on the back

of a broader pullback in tier 1 global bond yields.

- The line looks a little rich against the surrounding deliverables, in both

z-spread & ASW terms, as well as from a forward yield perspective.

- Results due at 0000GMT/1100AEDT.