AOFM sells 2025 bond at record low yield, record high coverage

By Sophia Rodrigues

Published On 29 May 2020 , 11:05 AM

The AOFM has sold A$1.0 billion of 3.25% April 2025 government bond at a weighted average issue yield of 0.3859%, lower than the previous record low of 0.3888% at May 4 tender. The coverage ratio was 5.6920, slightly higher than record 5.4333 at the last tender on May 4. The lowest yield today was 0.3825% and the highest 0.3875%. 

There were 35 bids in total, and only 6 were successful, and among them 3 got 100% allotment.

With this issue, this bond line has now increased to A$30.4 billion. The bond was first issued via syndication in May 2013 for A$4.0 billion at weighted average yield of 3.47%, and was last issued on May 4 at a weighted average yield of 0.3888.

LATEST SNIPPETS

AOFM doubles T-Notes issuance next week, as expected

As expected, the AOFM doubled the amount of T-Notes at tenders next week to A$2 billion from A$1 billion in the last...

Published on : 26 Feb 2021 , 12:10 PM
RBA buying A$3B under yield target policy (as CB-Intel flagged)

The RBA has announced it will buy A$3 billion of the April 2023 and April 2024 government bonds under the yield targe...

Published on : 26 Feb 2021 , 11:38 AM
AOFM may raise T-Notes tender next week

After reducing weekly T-Notes tenders to just A$1.0 billion (lowest since March last year) last two times, the AOFM m...

Published on : 26 Feb 2021 , 10:56 AM
Could RBA surprise with bond-buying today?

All eyes on the RBA today for any announcement on bond purchases under the three-year yield target policy. Since Nove...

Published on : 26 Feb 2021 , 10:35 AM
Australia wage price index beat expectations as some wage reductions unwind

Australia's wage price index beat expectations with a 0.6% q/q and 1.4% y/y rise in December 2020 quarter, data p...

Published on : 24 Feb 2021 , 11:37 AM
AOFM sells May 2032 bond at 1.69% weighted average yield

The AOFM sold A$2 billion of the 1.25% May 2032 government bond at weighted average issue yield of  1.6900%.&nbs...

Published on : 24 Feb 2021 , 11:20 AM
AOFM's A$2B May 2032 tender result will be interesting

Looking ahead to the results of the AOFM's tender of A$2 billion of 1.25% May 20232 government bonds in about 15...

Published on : 24 Feb 2021 , 10:46 AM
RBA buying A$1B of April 2024 under yield target policy

The RBA meets market expectation by announcing purchase of bonds under the three-year yield target policy, apart from...

Published on : 22 Feb 2021 , 11:34 AM
RBA bond-buying announcement keenly awaited

Market looking forward to RBA's bond-buying announcement today for purchases under three-year yield target policy...

Published on : 22 Feb 2021 , 10:58 AM
Westpac Evans sees Aussie 10-year yield at 1.9% end-2021

Westpac's chief economist Bill Evans has raised his forecast for US 10-year bond yield to 1.8% from 1.5% by the e...

Published on : 19 Feb 2021 , 04:28 PM