Daily Flows

• With the quarter’s end approaching, market participants have been actively locking in term deposit rates at 5.00%.
• Yesterday, the Bank of China stood out with a 6-month term deposit rate of 5.13%.
• The NCD market continues to see two-way flows, with the domestic margin currently sitting at 3mBBSW +40.

Falling U.S. Jobless Claims Excites Markets

• On Thursday, U.S. equities rose after an unexpected drop in jobless claims, reducing the likelihood of a 50-basis-point cut by the Fed.
• If the upcoming PCE data reflects measured disinflation, it will further support a gradual easing approach.
• U.S. GDP data was revised, showing stronger consumer spending and pushing the annual growth rate to 2.9%.
• With Victoria off today for the AFL Grand Final and minimal domestic data, investors should stay alert for end-of-quarter specials as banks may scramble to attract funds quickly.