The Australian Office of Financial.....>

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

sell A$400mn of the 2.25% 21 May 2028 Bond, issue #TB149.

- The line was last sold on 12 September 2018 for A$1.0bn. The sale drew an

average yield of 2.5890%, a high yield of 2.5900% and was covered 3.2000x. There

were 35 bidders, 11 of which were successful and 4 were allocated in full.

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

yield was 60.1%.

- The line has A$27.8bn outstanding with a modified duration of 8.32 years.

- The line forms part of the deliverable basket for XMH9.

- The line's yield has operated in a ~15bp range since the turn of the year,

after market volatility drove appetite for safe haven bonds over the

Christmas/New Year period. The yield last sits ~5bp off the recent low at

2.2235%.

- The line looks a little cheap against the 11/2028 (on both ASW & Z-spread

terms).

- Results due at 0000GMT/1100AEDT.