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Mar 02

Maybe I need to change my mind…

After a disastrous Wall Street, thanks to a record loss posted by AIG (-US$62billion for 1 quarter…Yikes!), and Wayne Swan’s warning about the slowing Australian economy a couple of days before the latest GDP results, Australian Government Bond Yields have dropped signficantly and the September 2009 Bond is now trading on a yield of 2.61%.

Maybe a 50bps drop by the RBA is looking a little more likely!

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