The Australian bond market is higher as traders followed a positive lead from the US.

Global bond markets were taking a breather after volatility caused by last week’s highly-anticipated US Fed meeting and Scottish independence referendum, Nomura head of macro products Jon Linton said.

“The markets have been in a rising yield environment for a couple of weeks, so this might be a pause for breath following the Federal Open Market Committee and the Scottish referendum,” Mr Linton said.

“I think it was just a small correction following 10 days of rising yields.”

At 1630 AEST on Monday, the December 2014 10-year bond futures contract was trading at 96.310 (implying a yield of 3.690 per cent), up from 96.230 (3.770 per cent) on Friday.

The December 2014 three-year bond futures contract was at 97.110 (2.890 per cent), up from 97.040 (2.960 per cent).