AUSSIE 3-YEAR TECHS: (Z6) Recent Gains Still Appear Corrective

"*NASDAQ 100 FUTURES RISE 0.3% AS JOBS DATA EASES FED HIKE BETS" - BBG

In post-Tokyo trade on Friday, JGB futures closed stronger, +8 compared to settlement levels.

• US tsys finished Friday's session showing a bear-flattener, with benchmark yields 1-4bps higher despite a knee-jerk rally following lower than expected Sep job gains (29k sa, vs. cons 81k along with a two-month downward revision of -60k, which reflected a more realistic seasonal factor for Aug plus some genuine softening back in July).
• Private payrolls told a better story, rising 46k (sa, cons 81k) as the government surprisingly dragged -17k, but as we noted after the release it was also accompanied by a heavier two-month downward revision of -81k.
• "The U.S. removed all its B-1 bombers from the U.K.'s RAF Fairford air base due to security concerns over suspected terror plots against the facility, American officials said." - BBG
• (Bloomberg) “Japan's parliament is set to convene an extraordinary session with bills related to a consumption tax cut on food products in focus. The government will submit 21 new bills during the session, including those to diversify crude oil suppliers and establish rules for land acquisitions in areas important to national security.”
• Today, the local calendar will see S&P Global PMI (Composite & Services) and Consumer Confidence Index data.

Bloomberg Finance LP

ACGBs (YM -2.0 & XM -1.5) are modestly weaker after cash US tsys finished Friday's session showing a bear-flattener, with benchmark yields 1-4bps higher despite a knee-jerk rally following lower than expected Sep job gains.

• S&P Global PMIs: Composite index falls to 51.3 from 52.7 in Aug; and Services index falls to 51.9 from 53.2 in Aug.
• Cash ACGBs are closed today due to public holiday in NSW.
• The bills strip pricing is -2 to -3across contracts.
• With the next CPI report not until 28 October, other price indices will be watched closely. MI's inflation gauge has been trending higher since June reaching 4.8% in August driven by higher fuel prices. A moderation in September would be welcome, but retail petrol prices rose 8.2% in the month.
• MI October consumer inflation expectations print Thursday. They held steady at an elevated 4.9% in September but the Q3 average of 4.8% was below Q2's 5.7%.
• This week's ACGB supply is in line with the recent average weekly issuance of $2000mn. The AOFM plans to sell A$1000mn of the 4.25% 21 October 2036 bond on Wednesday and A$1000mn of the 3.00% 21 November 2033 bond on Friday