The physical bank bill rate increased by 1bp to 1.77% while 3 month BBSW also increased by 1bp to 1.77%.
The government bond yield curve flattened again as yields rose at the short end. Swap rates acted in a broadly similar pattern although there were some distinct differences. The 1 year rate increased by 2bps to 1.81%, the 3 year rate increased by 8bps to 2.09%, 5 year rates gained 5bps to 2.40% but 10 year and 15 year rates both remained steady at 2.71% and 2.91% respectively (after rounding).
Consequently, the 3 year swap spread contracted by 2bps to 4bps, the 5 year spread lost 2bps to 20bps and the 10 year spread widened by 1bp to 18bps.
AFMA BBSW - SWAP RATES
| TERM TO MATURITY | Closing Rate | Δ WEEK | Δ MONTH |
|---|---|---|---|
| 30 Day | 1.69 | 0.01 | 0.09 |
| 90 Day | 1.77 | 0.01 | 0.06 |
| 180 Day | 1.94 | 0.02 | 0.06 |
| 1 Year | 1.81 | 0.02 | 0.06 |
| 3 Year | 2.09 | 0.08 | 0.09 |
| 5 Year | 2.40 | 0.05 | 0.03 |
| 10 Year | 2.71 | 0.00 | -0.07 |
| 15 Year | 2.91 | 0.00 | -0.10 |