Summary: 3-month BBSW up 9bps, 6-month BBSW up 7bps; swap rates up modestly; swap spreads widen.
3-month BBSW gained 9bps to 1.13% over the week while 6-month BBSW finished 7bps higher at 1.88%.
Swap rates increased by modest amounts at most points along the curve, in contrast with the falls of their Commonwealth Government benchmarks. By the end of the week, the 1-year rate had gained 11bps to 2.41%, 3-year and 5-year rates had both inched up 1bp to 3.05% and 3.34% respectively, the 10-year rate had added 3bps to 3.55% while the 15-year rate finished 4bps higher at 3.63%.
As a result, swap spreads widened alonAs a result, swap spreads widened noticeably along the curve. By the end of the week, the 3-year spread had jumped 11bps to 40bps, the 5-year spread had gained 9bps to 38bps while the 10-year spread had widened by 6bps to 37bps. th Government benchmarks. By the end of the week, the 1-year rate had gained 21bps to 2.62%, the 3-year rate had
NB. Spreads are calculated with respect to “spot” Australian Commonwealth Government bond yields.
| TERM TO MATURITY | CLOSING RATE | Δ WEEK | Δ MONTH |
|---|---|---|---|
| 30 Day | 0.59 | 0.10 | 0.38 |
| 90 Day | 1.24 | 0.11 | 0.53 |
| 180 Day | 2.02 | 0.14 | 0.57 |
| 1 Year | 2.62 | 0.21 | 0.51 |
| 3 Year | 3.35 | 0.30 | 0.23 |
| 5 Year | 3.65 | 0.31 | 0.23 |
| 10 Year | 3.85 | 0.30 | 0.26 |
| 15 Year | 3.90 | 0.27 | 0.27 |