RBA buying concentrated in Nov 2022 govt bond

By Sophia Rodrigues

Published On 14 Apr 2020 , 04:14 PM

The RBA bought the entire A$1.5 billion it notified this morning, with 65% of the purchases concentrated in the November 2022 bond.

Four out of the five bonds were bought at weighted average yield below 0.25%. This is the first time the weighted average yield at bond-buying auction has fallen below the RBA's three-year yield target of 0.25% and also the 0.25% cash rate target. 

Below is the results of the auction:

Issuer Coupon
%
Maturity
mm/yy
Amount purchased
(face value) $m
Weighted average yield
%
Cut-off yield
%
CGS 5.75 05/21 128 0.2212 0.2200
CGS 2.00 12/21 105 0.2236 0.2200
CGS 5.75 07/22 55 0.2393 0.2350
CGS 2.25 11/22 980 0.2450 0.2450
CGS 5.5 04/23 232 0.2625 0.2625

LATEST SNIPPETS

Could we have another record Australia debt syndication?

There is a possibility of a new record for Australia's debt issuance after the 21 November 2025 bond attract...

Published on : 14 Jul 2020 , 10:22 AM
AOFM gets order of over A$48.8B for 2025 syndication

The Australian governmen's 21 November 2025 bond has attracted order book of over A$48.8 billion, around 30...

Published on : 14 Jul 2020 , 09:07 AM
AOFM issue guidance for new issuance in 2020-21

AOFM issues guidance for new issuance in 2020-21 that will apply until the 2020-21 federal budget is handed down...

Published on : 03 Jul 2020 , 12:18 PM
AOFM issues A$2.0B of Nov 2024 bond at 0.3654%

The AOFM has sold A$2.0 billion of 0.25% November 2024 government bond at a weighted average issue yield of 0.36...

Published on : 03 Jul 2020 , 11:23 AM
AOFM sells Nov 2028 bond at 0.7959%

The AOFM sold A$2.0 billion of 2.75% November 2028 government bond at a weighted average yield of 0.7959%. ...

Published on : 01 Jul 2020 , 11:09 AM
AOFM to tender A$4B of bonds, A$3B of Notes next week

The AOFM has announced tenders for next week, totaling A$5.0 billion of bonds (down from A$4.0 bi...

Published on : 26 Jun 2020 , 12:17 PM
AOFM sells April 2026 bond at record high coverage

The AOFM sold A$1.0 billion of 4.25% April 2026 government bond at a weighted average yield of 0.4790%.&nbs...

Published on : 26 Jun 2020 , 12:12 PM
RBA Lowe to speak at Anika Foundation fundraising webinar July 21

The annual Anika Foundation fundraiser is being held as a webinar this year on July 21 from 1245 pm, with a...

Published on : 25 Jun 2020 , 02:39 PM
AOFM sells April 2029 at 0.8450%

The AOFM has sold A$2.0 billion of 3.25% April 2029 government bond at a weighted average yield of 0.8450%....

Published on : 24 Jun 2020 , 11:08 AM
AOFM sells April 2024 at 0.3003% vs record low 0.2818%

The AOFM sold A$2.0 billion of 2.75% April 2024 government bond at a weighted average yield of 0.3003%, hig...

Published on : 22 Jun 2020 , 02:00 PM