HSBC's head of global emerging markets rates research, Andre de Silva, says in a report that he sees yields on 10-year Australian government bonds dropping below 2% in H2 of 2015
- He sees compression of yields vs. other developed bond markets
- Says Japanese flows into Australia's bond market to increase ... $63b of flows over next 2-3 years
- Due to the wide spread over JGBs
- Says the Reserve Bank of Australia will cut again in March
Comments reported over Bloomberg a little earlier today
