The Australian bond market is firmer as investors and traders avoid risk assets in the wake of the US central bank's interest rate decision.
At the end of last week, the US Federal Open Market Committee (FOMC) surprised some in the market by holding off on raising its interest rate.
Fed chair Janet Yellen citied concern about the slowdown in China and its impact on the US economy as the reason for not raising the rate.
RBC Capital Markets fixed income strategist Michael Turner said the local share market and Asian equity markets have fallen sharply on Monday due to the uncertainty around global growth and US interest rates.
"The equity rout is an extension of what happened last week where there is not a huge amount of appetite for risk assets," Mr Turner said.
"Meanwhile, fixed income assets are being well supported."
At 1630 AEST on Monday, the December 2015 10-year bond futures contract was trading at 97.245 (implying a yield of 2.755 per cent), up from 97.190 (2.810 per cent) on Friday.
The December 2015 three-year bond futures contract was at 98.110 (1.890 per cent), up from 98.100 (1.900 per cent).
Government bond yields:
* CGS 5.5pct Jan 2018, 1.879pct, from 1.897pct on Friday
* CGS 4.25pct April 2026, 2.790pct, from 2.844pct
Sydney Futures Exchange prices:
* December 2015 bill futures, unchanged at 97.920
* March 2016 bill futures, 97.990 from 98.980
(*Closes taken at 1630 AEST previous local session)