The Australian Office of Financial Management (AOFM) priced its largest treasury indexed bond (TIB) syndication since 2009 on 18 September, issuing a A$3.75 billion (US$2.7 billion) deal due February 2050. The government debt-management agency says a groundswell of demand from domestic fund managers as well as a degree of scarcity value drove the transaction.
On 17 September, Australian Office of Financial Management (AOFM) (AAA/Aaa/AAA) launched a new, benchmark treasury indexed bond (TIB), due February 2050, by syndication. Initial price guidance for the forthcoming deal is 9-13 basis points over the August 2040 TIB, which equates to -150 to -146 basis points versus the implied yield for the December 2018 10-year treasury bond futures contract. Pricing is expected on the day after launch.