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AUSTRALIAN BOND MARKET OPENS WEAKER - NOV 3, 2008.

AsiaPulse News

| November 03, 2008 | COPYRIGHT 2008 Asia Pulse Pty Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

SYDNEY, Nov 3 Asia Pulse - The Australian bond market opened marginally weaker as investors bided time ahead of the central bank's interest rate decision due tomorrow.

At 0830 AEDT, the yield on the Commonwealth Government March 2019 bond was at 5.210 per cent, up from Friday's close of 5.115 per cent, while the yield on the June 2011 bond was at 4.485 per cent, up from 4.445 per cent.

On the Sydney Futures Exchange, the December 10-year bond futures contract price was at 94.785, down from Friday's close of 94.820 while the December three-year contract price was at 95.550, down from 95.500.

ANZ market strategist Patricia Gacis said the investors in the local bond market were tidying positions ahead of the monthly board meeting of the Reserve Bank of Australia (RBA) tomorrow.

Fourteen of the 15 economists surveyed by AAP forecast the RBA to lower its key target rate by 50 basis points.

The board's decision on the overnight cash rate, ...

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Source: HighBeam Research, AUSTRALIAN BOND MARKET OPENS WEAKER - NOV 3, 2008.

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