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Twisting Steeper

AUSSIE BONDS

The futures curve twist steepened in post-Sydney trade, aided by the dynamic observed in U.S. Tsys, which leaves YM +0.5 & XM -2.0 shortly after Tuesday’s Sydney open, operating around late overnight levels.

  • Local headline flow remains attuned to the political dynamics ahead of May’s Federal Election, with little else of note to really digest.
  • The latest monthly NAB business survey, weekly ANZ-Roy Morgan consumer confidence reading and household spending from CBA headline the local economic docket on Tuesday. Elsewhere, supply will come in the form of the pricing of the syndication of the new ACGB Nov-33 (the last guidance we saw on Monday had tightened to -1.5bp to +0.5bp vs. XM, from the initial -/+1.5bp), with A$100mn of Aug-40 I/L supply also due from the AOFM.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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