Aussie 10-year bond yield is close to parity against US equivalent

• The 10-year Aussie-US yield spread continues to fall. 

The yield on the 10-year Aussie government bond yield offers only two basis points more than the yield on its US counterpart. The spread is very close to parity and could turn negative if the US January wage growth numbers, due today at 13:30 GMT, beat estimates. 

AUD/USD, which is showing signs of bull market exhaustion above 0.80 levels, may drop on a negative Aussie-US yield spread. 

Spread chart