AUD traders - heads up for 0015 GMT and whether the RBA will be buying bonds

Last week the Reserve Bank of Australia bought April 2024 Australian government bonds to defend their 0.1% yield target.

The Bank had been absent the market for a long time, which allowed the yield to climb to circa 0.17%.

Yields have risen again, very notably since yesterday's CPI data:

• Australian Q3 inflation: Headline 0.8% q/q (vs. expected 0.8%)
• Australian dollar popped on the higher than expected core

At 11.15am Sydney time (0015 GMT) we'll see if the RBA is back in the market once again buying the target April 2024 bond.

ps. Plenty of discussion about locally this morning in Australia that the RBA will drop its QE program by February 2022. This would be a bit of a surprise, but not nearly so much as after last night when the Bank of Canada binned its QE program immediately.

• Bank of Canada prematurely ends bond buying program in surprise decision. Loonie jumps
• Bank of Canada full statement and Monetary Policy Report
• Macklem opening statement: Likely less supply in the economy than believed
• Macklem Q&A: We believe there are good reasons for inflation to ease in 2022