中加基金权益周报︱关税有效性裁定扰动市场情绪，月末资金维持宽松

Market Overview and Analysis - The issuance scale of government bonds, local government bonds, and policy financial bonds in the primary market last week was 0 billion, 228.2 billion, and 166 billion respectively, with net financing amounts of 0 billion, 137.4 billion, and 130 billion [1] - Non-financial credit bonds totaled an issuance scale of 243.1 billion, with a net financing amount of 50.1 billion. One new convertible bond was issued, expected to raise 300 million [1] Secondary Market Review - Interest rates rose last week, influenced by factors such as profit-taking sentiment among institutions, the effectiveness ruling on US tariffs, and the increase in certificate of deposit rates [2] Liquidity Tracking - The repo market maintained a loose funding environment last week, with a slight increase in certificate of deposit rates. The central bank announced a net withdrawal of 200 billion through reverse repos in May, without engaging in government bond transactions [3] Policy and Fundamentals - Relevant departments announced that several major financial policies will be released during the Lujiazui Financial Forum. In April, the profit growth rate of industrial enterprises increased alongside rising profit margins, while inventory levels decreased. The manufacturing PMI for May recorded 49.5, in line with expectations [4] Overseas Market - A US court ruled that Trump's imposition of reciprocal tariffs and fentanyl tariffs was "overreaching," and the Trump administration has appealed. The S&P 500 rose by 1.9% over the week, while the yield on 10-year US Treasury bonds fell by 10 basis points [5] Equity Market - The A-share market continued to favor small-cap stocks last week. Specifically, the Wind All A index fell by 0.83%, the CSI 300 index decreased by 0.48%, and the CSI 2000 index rose by 1.09%. A-share trading volume shrank, with an average daily turnover of 1.09 trillion, a decrease of 93.062 billion week-on-week. As of May 29, 2025, the total financing balance for All A was 1,797.562 billion, slightly increasing by 722 million compared to May 22 [6] Bond Market Strategy Outlook - Recent increases in certificate of deposit rates may be related to the upcoming maturity of certificates in June. The month will also see government bond issuances and the maturity of various monetary policy tools, leading to concentrated funding demands, which may cause fluctuations in interbank market liquidity. However, typically, funding demands tend to ease at the beginning of the month. The recent adjustments in interest rate bonds due to institutional behavior have created opportunities that warrant attention, emphasizing the value of coupon assets. In the convertible bond sector, the market is entering a phase where fundamentals, policies, and US-China relations are relatively stable, suggesting that the pricing weight of individual bonds based on industry logic may continue to increase. Given the ongoing supply-demand imbalance for convertible bonds this year, and the fact that the average conversion premium across multiple parity ranges remains below the spring market levels, the valuation of convertible bonds is relatively supported, and their attractiveness for allocation has begun to recover since last week [7]