The weak non-m'fing ISM print out of...>

AUSSIE BONDS: The weak non-m'fing ISM print out of the U.S. was enough to push

the space higher on SYCOM with YM & XM both trading +3.0 at writing, leaving

YM/XM at 33.0 and the cash equivalent at 30.0bp.

- The AU/U.S. 10-Year yield spread is back out to ~-65.0bp after printing as low

as -80.0bp last week, as Fed re-pricing & disappointing U.S. data releases have

resulted in outperformance of the U.S. leg of the spread.

- Bills sit 1-2 ticks higher through the reds.

- IBs still price a ~45% chance of an RBA cut in Nov. Worth reminding that

Westpac's Bill Evans has noted that there is a "real possibility of an RBA cut

in Dec" but he is sticking with his call for a cut in Feb 2020.

- Local retail sales, a speech from RBA's Ellis & the RBA's FSR are due to be

released today, as is the AOFM weekly issuance schedule.

- Worth reminding that Monday is a regional holiday in Sydney/NSW.