Summary: BBSW increase; swap rates up; swap spreads narrower.
Bank bill swap rates increased a touch this week.
BBSW
| TERM TO MATURITY | CLOSING RATE | Δ WEEK | Δ MONTH |
|---|---|---|---|
| 1 month | 4.06 | 0.01 | 0.00 |
| 3 months | 4.13 | 0.01 | -0.04 |
| 6 months | 4.35 | 0.00 | -0.15 |
Swap rates increased, more so at the short end and the belly, but not as much as their Commonwealth Government counterparts.
SWAP RATES
| TERM TO MATURITY | CLOSING RATE | Δ WEEK | Δ MONTH |
|---|---|---|---|
| 1 year | 4.25 | 0.03 | -0.04 |
| 3 years | 4.07 | 0.04 | 0.01 |
| 5 years | 4.21 | 0.03 | 0.01 |
| 10 years | 4.45 | 0.01 | 0.00 |
| 15 years | 4.57 | 0.00 | -0.01 |
As a result, swap spreads were a little narrower. By the end of the week, the 3-year spread had lost 2bps to 23bps, the 5-year spread had slipped 1bp to 34bps while the 10-year spread finished 2bps lower at 34bps.
