The spaced knee-jerked lower at the....>

AUSSIE BONDS: The spaced knee-jerked lower at the SFE re-open after the ruling

coalition secured a surprise victory in the federal election. Furthermore, ABC

projections have the ruling coalition on target to secure a majority gov't. The

ABC headlines helped bonds move lower again, with futures registering a fresh

low on the print.

- YM had edged back from lows, with a focus on the MonPol front evident, while

the ongoing U.S.-China trade spat continues to draw interest. The Editor in

Chief of China's Global Times highlighted Australia as pro-U.S. in the wake of

the election results.

- Fitch affirmed Australia's AAA credit rating in the wake of the elex & now

expects the country to print an underlying cash surplus by the next fiscal year.

- YM last -5.5 ticks, XM -4.0 ticks. YM/XM trades at 46.0 ticks, with the cash

equivalent at 43.1bp.

- Bills trade 5-6bp lower through the reds.

- Tomorrow is full of RBA-centric risk, with the minutes from the Bank's May

MonPol decision and an address from RBA Governor Lowe due.