With Japanese markets closed for a.....>

BOND SUMMARY: With Japanese markets closed for a national holiday, the first

half of the Asia-Pac session has been headlined by the latest Australian labour

market report.

- Aussie bond yields started on the back foot, as they played a catch-up to the

post-FOMC move in U.S. Tsy yields, before advancing on the back of a strong

Australian labour market report, which saw the unemployment rate decline to 4.9%

from the prev. 5.0%. In the wake of the release, Aussie bond yields are trading

1.6bp lower to 0.5bp higher across the curve, with the longer end outperforming.

Worth mentioning the 3-Year bond yield had a brief look above the RBA cash rate

of 1.50%, before ebbing off of highs. YM last trades -1.0 tick at 98.545, XM

+2.5 ticks at 98.085, with YM/XM -3.5 ticks at 46.50. Bills are trading 1-4

ticks lower through the reds.

- T-Notes have stuck to a very tight range thus far and last trade at 123.13,

unchanged on the day. Eurodollar contracts are trading unch. to 0.5bp higher.