Australia’s money markets are convinced that the central bank would cut rates twice in the next 12 months amid worries about an economic slowdown. Short-dated bond yields in particular have dropped sharply in the last few days on dovish RBA expectations. For instance, Australia’s 3-year bond yields have dropped almost 50 basis points since early December to within a whisker of the central bank’s 1.5 percent policy rate, according to Bloomberg report. Also, the aggregate open interest for Australia’s 3-year bond futures has surged to a record high of 2.3 million contracts. That said, the demand for short dated bonds may drop somewhat if the labor market report, scheduled for release this Thursday, shows the stellar run of jobs growth continued in February. It is worth noting that jobs have remained a bright spot for the economy despite the worsening consumer and business sentiment. FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next GBP/JPY: Expectations of orderly Brexit weighs on political noise FX Street 4 years Australia's money markets are convinced that the central bank would cut rates twice in the next 12 months amid worries about an economic slowdown. Short-dated bond yields in particular have dropped sharply in the last few days on dovish RBA expectations. For instance, Australia's 3-year bond yields have dropped almost 50 basis points since early December to within a whisker of the central bank's 1.5 percent policy rate, according to Bloomberg report. Also, the aggregate open interest for Australia's 3-year bond futures has surged to a record high of 2.3 million contracts. That said, the demand for short… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
