Daily Commentary BY THE CURVE TEAM –

Daily Insights – Payrolls Slide

8th of October, 2021

Payrolls

  • Were down 0.7% in the two weeks to 11 September.
  • The last 4 weeks are down 2.2%.
  • Victoria led the falls, down 1.8%. This accounts for over 70% of the fall in payrolls.
  • NSW and Victoria are thew laggards in payrolls across the country, so overall payrolls should recover with lockdowns ending.

Treasury Corp Victoria (TCV) Floating Bond

  • TCV issued $3.25 billion for a 6-year term at +10.
  • Fixed 2027 TCV’s are trading at around 1.30% as a comparison.
  • This implies a drastic pick up in BBSW to have equivalent yield to maturities.

Josh Stewart

Associate - Money Markets