Daily Flows

• With demand for funds subdued, mutual bank term deposit offerings remain sparse and thin, limiting new investments.
• 3m BBSW is now sitting at 4.12%, outright levels now stand at 4.53% – a significant departure from the levels seen at the end of last year.
• State Bank of India (A-3/BBB-) continues to offer attractive rates in an effort to establish its presence in the wholesale term deposit/NCD market.

Germany’s Centre-Right Alliance Party Wins The Election

• It was a quiet Monday in Australia. Overnight in Europe, it was confirmed that the centre-right alliance won the election.
• German Bund yields fell, coupled with the new government’s plan to allocate $200 million in emergency defence funding.
• In the U.S., increased supply via Treasury auctions led to lower overall Treasury yields. Markets are awaiting the CPI print, which will help gauge the timing of the Fed’s first rate cut for the year.
• Domestically, there is minimal Tier 1 data. Today, RBA speaker Brad Jones will host a fireside chat at lunchtime.