The Australian Office of Financial.....>

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

sell A$500mn of the 3.25% 21 April 2029, issue #TB138. The line was last sold on

10 December 2018 for A$700mn. The sale drew an average yield of 2.4121%, at a

high yield of 2.4125% and was covered 2.7500x. There were 26 bidders, 13 of

which were successful and 5 were allocated in full. Amounted allotted at highest

accepted yield as percentage of amount bid at that yield was 71.3%.

- The line has A$25.9bn outstanding with a modified duration of 8.64 years.

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

- The line's yield has operated in a ~27bp range since the turn of the year,

with financial market volatility, dovish central banks across the globe and

worry surrounding the health of the global economy pushing yields lower. The

line's yield last trades around 4bp off of the bottom of the recent range at

2.1025%. The line looks a little rich in z-spread terms, although it is no

richer than the nearby Nov 2029 based on this measure. It is also worth noting

that the line looks particularly rich in ASW terms.

- Results due at 0000GMT/1100AEDT.