Swaps - AUD
The AUD 3s/10s box spread has pushed to its widest point since early September. The RBA is expected to deliver rate cuts and more QE near term.
The AUD 10s/30s swap curve spread traded after the significant steepening seen in recent months. The RBA is expected to cut rates next month.
Weak US jobs data has backed good amount of receiving interest in 10-year AUD swaps. 3-year saw mainly 2-way interest.
The AUD rates market is rallying after an RBA speech was seen to back the case for more easing. Woori Bank launched a Covid Recovery Kangaroo Bond.
AUD swap spreads have dipped a little further into negative territory. Treasurer Frydenberg says the Australia-China relationship is complicated.
10-year AUD has been offered on worries about the longer-term economic impact after news about China suspending coal purchases from Australia.
There was early trade in AUD curve spreads. 5y swaps are expected to outperform on RBA rate cut expectations. IADB issued a 12y Kangaroo Bond.
Tracking the mild gains in USTs, the 10- to 15-year area of the AUD saw better receiving. There have been 2-way interests in 5-year.
AUD swap spreads have steadied on the underlying correction. The budget showed a record deficit. Rate cut bets pushed short yields to new lows.
AUD swap spreads are higher after the RBA and budget announcements yesterday and issuance outlook suggests the trend will continue.