RBA defends bond yield target for the first time in eight months

In an unscheduled move on Friday, the Reserve Bank of Australia (RBA) intervened in the bond market operation to defend its yield target for the first time since end-February.

Key details

“The RBA offered to buy A$1 billion ($750 million) of its targeted government bond maturing in April 2024.”

“The yield on the April 2024 bond fell 5.6 basis points (bps) to 0.14%, according to Refinitiv data, leaving it still four bps higher than the central bank's 0.1% target.”