Original article by Sarah Turner
The Australian Financial Review – Page: 27 : 18-Jun-20
The yield on three-year Australian government bonds has traded within a narrow range of 0.21 per cent to 0.28 per cent since March, when the Reserve Bank commenced a targeted bond-buying program aimed at keeping the yield at around 0.25 per cent. The success of yield curve control in Australia has prompted the US Federal Reserve to assess the strategy, although Stephen Halmarick from the Commonwealth Bank says it is unlikely to adopt this in the near-term. The Federal Reserve’s focus has been on buying a certain amount of bonds each month.
RESERVE BANK OF AUSTRALIA, UNITED STATES. FEDERAL RESERVE BOARD, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA