Australian 10-year bond yield down over 4bps, hovers near 1-week low

Australian government bonds gained on Thursday in line with U.S. Treasuries, sending the benchmark 10-year yield over 4 basis points lower. The U.S. Treasuries pushed higher across the curve overnight during a relatively quiet session light on data of great significance.

The yield on the benchmark 10-year Treasury note, which moves inversely to its price, fell 4 basis points to 2.678 percent, the yield on the long-term 30-year note dipped 4 basis points to 3.400 percent and the yield on short-term 2-year slid 1/2 basis point to 2.028 percent by 03:00 GMT.

Overall, the U.S. Treasuries added to prior gains following the weaker than expected Conference Board consumer confidence release that saw the headline measure retreat towards 122.1 in December, down from 128.6, alongside milder gains in November pending home sales, increasing +0.2% in November, from +3.5% m/m in October.

Markets now look ahead to what stands to be another relatively light Thursday session, highlighted by jobless claims and Chicago PMI data, followed later by a 7-year Note auction.

Meanwhile, the S&P/ASX 200 index traded 0.40 percent higher at 6,038.5 by 03:00 GMT, while at 03:00GMT, the FxWirePro's Hourly AUD Strength Index remained slightly bullish at 86.46 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex

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