Daily Flows

• Bendigo Bank 4 year MTN launch is imminent, with an IOI going out today with a price indication of 3mBBSW +103.
• Two-way NCD flow remains, with mid month inflows expected to meet any NCD demand.
• 4 & 5 year term deposits continue to attract flow as they are being offered just below 5.00%.

Volatile Markets & CBA Shows Households Spending Down

• There were declines in U.S. and Euro stock markets as disappointing results from chip makers and U.S. Empire State manufacturing dropped drove this.
• Fed speak continues to show varied opinions with most speakers addressing the balanced risk outlook currently the U.S. faces.
• Bond yields have tightened as uncertainty clouds the market.
• Domestically, CBA’s household spending data was down by 0.7% for the month of Sept, with Household goods and hospitality driving this.
• CBA continues to stand firm on their December RBA rate cute, noting that they expect further softening in household spending.