Reserve Bank of Australia Buys Even More Bonds
Posted on 03/01/2021
The Reserve Bank of Australia (RBA) disclosed plans to purchase A$ 4 billion of longer-dated bonds, double the usual size. This is a follow up to an increase in bond purchases of shorter-maturity debt at the end of last week. RBA purchased A$ 3 billion in three-year government bonds in the secondary market on March 25, 2021.
The 10-year yield in Australia dropped to 32 basis points after the RBA’s buy notice.