Summary: BBSW rates up modestly swap rates jump; swap spreads widen at front of curve but tighten elsewhere.
3-month BBSW rose by 2bps to 0.03% while 6-month BBSW increased by 3bps to 0.06%.
Swap rates jumped at most tenors along the curve. By the end of the week, the 1-year rate had moved 4bps higher to 0.07%, the 3-year rate had increased by 15bps to 0.34%, the 5-year rate had gained 26bps to 0.90%, the 10-year rate leaped 37bps to 1.86% while the 15-year rate finished 38bps higher at 2.25%.
As a result, swap spreads widened noticeably at the front of the curve but tightened elsewhere. By the end of the week, the 3-year spread had gained 16bps to 23bps but the 5-year spread had decreased by 3bps to 6bps and the 10-year spread finished 8bps lower at -2bps.
BBSW - SWAP RATES
| TERM TO MATURITY | Closing Rate | Δ WEEK | Δ MONTH |
|---|---|---|---|
| 30 Day | 0.01 | 0.00 | 0.00 |
| 90 Day | 0.03 | 0.02 | 0.02 |
| 180 Day | 0.06 | 0.03 | 0.04 |
| 1 Year | 0.07 | 0.04 | 0.04 |
| 3 Year | 0.34 | 0.15 | 0.19 |
| 5 Year | 0.90 | 0.26 | 0.45 |
| 10 Year | 1.86 | 0.37 | 0.73 |
| 15 Year | 2.25 | 0.38 | 0.75 |