Big four banks' forecast for RBA 3-year yield target, QE3
By Sophia Rodrigues
Published On 19 May 2021 , 01:44 PMEarlier Wednesday, ANZ published its view on third round of RBA's bond purchase program. In a note Wednesday, ANZ chief economist David Plank and his team said they expect RBA to announce another A$100 billion of program in the same form at the first and second round. That would be 80/20 purchase split between Australian government and state bonds over a period of six months.
With this update, ANZ and Westpac expect A$100 billion over six months. CBA expects A$50 billon over six months. NAB expects some form of taper but hasn't finalised its view yet.
In case of the three-year yield target, ANZ, CBA and NAB expect the RBA to not extend target to November 2024 bond and retain April 2024 as the target bond. Westpac is the only one who expects the RBA to shift target to the November 2024 bond.
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 PMRBA 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 AMAOFM 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 AMCould 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 AMAustralia 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 AMAOFM 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 AMAOFM'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 AMRBA 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 AMRBA 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 AMWestpac 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