| Close | Previous Close | Change | |
|---|---|---|---|
| Australian 3-year bond (%) | 3.906 | 3.859 | 0.047 |
| Australian 10-year bond (%) | 4.483 | 4.443 | 0.040 |
| Australian 30-year bond (%) | 5.021 | 4.976 | 0.045 |
| United States 2-year bond (%) | 4.306 | 4.309 | -0.003 |
| United States 10-year bond (%) | 4.552 | 4.533 | 0.020 |
| United States 30-year bond (%) | 4.7657 | 4.741 | 0.025 |
LOCAL MARKETS
Australia’s 10-year government bond yields rose to around 4.49% as investors awaited the Reserve Bank of Australia’s upcoming monetary policy decision. The RBA is widely expected to lower its cash rate by 25 bps from the current 4.35%. However, the central bank’s statement may take a hawkish tone, as trimmed mean inflation remains above the 2%-3% target range.
Additionally, recent data showed Australian consumer inflation expectations climbed to a ten-month high of 4.6% in February, the highest since last April, up from 4% in January. Traders also braced for wage data on Wednesday and employment figures on Thursday, while RBA senior officials, including Governor Michele Bullock, are set to appear before Parliament on Friday to discuss the latest rate decision. In the US, a downside surprise in retail sales last week led investors to anticipate at least two rate cuts from the Federal Reserve this year.
US MARKETS
The US equities and bond markets were closed on Monday due to the Presidents’ Day holiday.
