FX.co ★ Australia 10-Year Bond Yield Rises

Australia’s 10-year government bond yield has climbed to approximately 4.32%, nearing a one-month peak as market participants analyze robust economic indicators. The manufacturing industry has experienced its swiftest growth since September 2022, while exports have shifted back to modest growth following several months of decline. Additionally, job advertisements increased by 0.1% in August, recovering from July’s downturn and highlighting a sturdy labor market. This recent data diminishes the argument for an imminent rate cut, particularly in light of an unexpectedly significant rise in consumer prices in July. Currently, the markets are anticipating only about 34 basis points of further easing throughout the remainder of 2025. Attention is now focused on this week’s second-quarter GDP report, which may offer deeper insights into the economy’s resilience and potentially sway the Reserve Bank of Australia’s forthcoming decisions. Meanwhile, traders are closely monitoring U.S. labor data to gauge the Federal Reserve's future actions, after recent Personal Consumption Expenditures data revealed persistent inflationary trends that could impact global bond yields.