Within Thursday’s Sydney Ranges

The previously documented continuation of angst and worry surrounding the Russia-Ukraine situation has ultimately supported Aussie bonds, on net, since yesterday’s settlement. Do note that the initial risk-off price action faded in late Sydney & early post-Sydney dealing, as the validity of the Russian sources reporting the Ukrainian shelling of Luhansk was questioned. Subsequent counter-reports/accusations of separatist shelling of the region then became evident. We then saw U.S. President of State Biden & Secretary of State Blinken warn of the potential for a Russian invasion of Ukraine in the coming days (although the latter has offered to meet with Russian counterpart Lavrov), which added a fresh leg of support to the space. YM +2.0 & XM +2.5 at typing, with the contracts failing to force a meaningful test of their respective Thursday Sydney highs thus far.

• A$1.0bn of ACGB Apr-25 supply and the release of next week’s AOFM issuance slate headline the domestic docket on Friday.