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

Headlines from RBA Lowe's Speech Tuesday

RBA Lowe: No Change in View Little To Be Gained from Negative Policy Rate
RBA Lowe: Negative Policy Rate Extra...

Published on : 03 Nov 2020 , 04:06 PM
More Headlines from RBA Policy

Any bond-buying to support 3-yr target would be in addition to A$100B QE

Not expecting to raise cash rate f...

Published on : 03 Nov 2020 , 02:35 PM
Headline from RBA's November MonPol Decision

From the RBA's November Monetary Policy Decision statement:

-Cuts cash rate target to 0.1% from 0.25% Published on : 03 Nov 2020 , 02:31 PM

RBA TFF drawdown steady since Sep 30 as bks await rate cut

Total amount drawdown from the RBA's Term Funding Facility has been unchanged for three straight weeks...

Published on : 30 Oct 2020 , 04:13 PM
Australia Note yields continue declining on expectation of 1bp ES rate

Yields fell further to new record lows at the AOFM weekly T-Note tenders as market factors in the possibili...

Published on : 29 Oct 2020 , 10:42 AM
Australia Note yield drop to new low ahead of RBA cuts

As expected, the yield on near-term T-Note fell to a new record low at today's AOFM's auction. The weighted a...

Published on : 22 Oct 2020 , 10:40 AM
Could Australia Note Yield Drop to New Low at Auction?

Looking forward to the AOFM's weekly T-Note auctions later this morning. The record low weighted average yield fo...

Published on : 22 Oct 2020 , 10:09 AM
RBA Kent's speech title

The title of RBA assistant governor Chris Kent's  speech on Tuesday is a very interesting one, "The Sta...

Published on : 19 Oct 2020 , 08:19 PM
Australia Note yields drop to new low

Yields at AOFM's Treasury Note auctions dropped to new record low on ample liquidity and expectations of cut...

Published on : 01 Oct 2020 , 10:43 AM
Just one investor buys entire A$2B of 2030 govt bond at tender

One bidder got the entire A$2.0 billion of the 1% December 2030 government bond at the tender today. The yield was 0....

Published on : 30 Sep 2020 , 11:20 AM