FINANCIAL MARKET SUMMARY

SELECTED FINANCIAL INSTRUMENTS

		Outstanding at end		Transactions during		Other changes during		Outstanding at end
		Mar Qtr 2018		Jun Qtr 2018		Jun Qtr 2018		Jun Qtr 2018
		$b		$b		$b		$b
Currency and deposits
	Currency	80.4		-0.9		-		79.6
	Transferable deposits	888.0		13.1		1.7		902.8
	Other deposits	1 613.5		-6.3		5.2		1 612.4
Short term debt securities
	Bills of exchange	39.3		-2.4		-		36.9
	One name paper	504.1		14.8		2.8		521.7
Long term debt securities
	Bonds, etc.	2 493.7		38.8		-7.0		2 525.5
Derivatives
	Derivatives	451.5		-58.7		83.8		476.6
Loans and placements
	Short term	383.7		-6.2		-1.2		376.2
	Long term	3 670.9		44.7		2.2		3 717.7
Shares and other equity
	Listed	1 826.9		-16.9		126.7		1 936.7
	Unlisted	4 270.5		67.9		77.1		4 415.5
Insurance technical reserves
	Reserves of pension funds and life offices	2 396.5		37.5		54.3		2 488.4
	General insurance prepayments and reserves	109.4		1.2		-		110.6
- nil or rounded to zero (including null cells)

The listed shares market increased $109.8b in June quarter 2018, with net transactions of -$16.9b due to a significant delisting and a valuation increase of $126.7b. Total valuation increases were driven by other private non-financial corporations and bank shares.

The loans and placements market increased $39.5b in June quarter 2018, with net transactions of $38.5b and revaluations of $1.0b. Long term loans to households were the main driver of net transactions in the loans and placements market. Long term loans to the rest of world and central borrowing authorities also contributed to the overall growth in the loans and placements market this quarter.

Bonds increased $31.8b, with net issuance of $38.8b and revaluations of -$7.0b in June quarter 2018. Net transactions were driven by net issuance of $28.3b in the domestic market and $10.4b in the offshore market. While negative revaluations were observed in both markets, revaluations in the offshore market were smaller due to the Australian dollar appreciating against most major currencies over the quarter.

Total deposits increased $13.7b in June quarter 2018, with net transactions of $6.8b and a valuation increase of $6.9b. The increase in total deposits was driven by growth in transferable deposits (1.7%). Households' deposits grew by 0.2%. Banks and the central bank were the main drivers in net transactions of deposits, partly offset by rest of world.