Analyst re-examines Australia's triple-A as AOFM task leaps again
Australia's mid-year economic and fiscal outlook (MYEFO) helped spur another substantial increase in the Australia Office of Financial Management (AOFM)'s funding plan, leading at least one analyst pondering the potential consequences of a sovereign downgrade.
NZDMO forecasts larger funding programme following mid-year budget update
A slower-than-expected improvement in New Zealand government finances revealed at the half-year fiscal and economic update (HYFEO) on December 15 leads the New Zealand Debt Management Office to forecast a somewhat larger funding task from next year. But analysts say the government's willingness to run larger deficits rather than seeking to cut spending is a sign of confidence rather than weakness.
Read more: NZDMO forecasts larger funding programme following mid-year budget update
Australian Securitisation 2015: securitisers respond positively to APS 120
Speaking at Australian Securitisation 2015 – the annual conference of the Australian Securitisation Forum (ASF) – market participants confirmed that the revised draft regulatory regime for the industry marks a significant step towards a larger market for Australian issuers. The latest iteration of APS 120 was released on November 26, and the Australian Prudential Regulation Authority (APRA)'s Sydney-based general manager, Patrick Brennan, addressed the conference on December 1.
Analysts say latest RBNZ cut is the last the bank wants, but suspect more may still follow
Following the Reserve Bank of New Zealand (RBNZ)'s decision to lower the official cash rate (OCR) by 25 basis points on December 10, analysts believe the reserve bank does not intend to cut further unless its hand is forced. However, the consensus appears to be that a near-neutral stance from the RBNZ will not last long into 2016 and that further cuts remain likely.
TCorp's buyback highlights ever-tighter semi supply as HQLA requirement grows [UPDATED]
The repurchase of A$526 million (US$379.8 million) of benchmark bonds by New South Wales Treasury Corporation (TCorp) on November 26-27 puts the issue of limited semi-government bond supply in the spotlight, say analysts and other market participants. TCorp completed the second of two buyback tenders on November 27, retiring A$300 million to add to the A$226 million taken out the preceding day.