Australia Note yield drop to new low ahead of RBA cuts

By Sophia Rodrigues

As expected, the yield on near-term T-Note fell to a new record low at today's AOFM's auction. The weighted average yield on February 26 Note was 0.0733% compared with previous record low of 0.0982% on October 8 (for the January 29 Note).

The record low bid was 0.0600% versus previous record of  0.0850%.

For the 21 May T-Note, the weighted average yield came at 0.0872% versus previous record low of 0.1098%. The record low bid yield was 0.0800%.

All ahead of RBA rate cut expectations for the November 3 board meeting, including expectation of a cut in the ES rate.