The Australian Treasury expects that 60% of the economy can be recovered once we achieve Stage 3 of National Cabinet’s re-opening plan. This correlates with the RBA’s recent ‘Upside Scenario’ and provides a safe margin away from the most severe downside scenarios used by our major banks for stress testing purposes. When the recent consumer confidence figures are also considered, Australia is looking at a healthy recovery, at least in the early stages. The Australian non-financial corporate bond and RMBS markets don’t seem to have fully realised this as yet.