Group 1 - The People's Bank of China (PBOC) conducted a 7-day reverse repo operation of 355.1 billion yuan at a fixed rate of 1.4%, resulting in a net injection of 187.1 billion yuan after 168 billion yuan of reverse repos matured on the same day [1] - From October 27 to October 31, the PBOC conducted a total of 2,068 billion yuan in reverse repos, with a net injection of 1,200.8 billion yuan after offsetting 867.2 billion yuan that matured during the same period [1] - The PBOC also conducted a 900 billion yuan Medium-term Lending Facility (MLF) operation on October 27, resulting in a net injection of 200 billion yuan after offsetting 700 billion yuan that matured [1] Group 2 - Looking ahead to November, it is expected that the issuance of government bonds will be at a high level due to the arrangement of 500 billion yuan for local government debt, which will lead to an increase in effective investment [2] - The PBOC is anticipated to maintain a stable and slightly loose liquidity environment in November, utilizing various liquidity management tools to support economic growth and stabilize expectations [2] - The PBOC's governor indicated that the bond market is operating well and that the central bank will resume operations for buying and selling government bonds in the open market [2] Group 3 - The chief economist of Minsheng Bank noted that the PBOC has relied on reverse repos and MLF to maintain medium-term liquidity since the suspension of government bond trading in January [3] - There is significant upcoming maturity pressure from previously purchased government bonds, necessitating the PBOC to buy government bonds in the open market to stabilize the banking liabilities and money market [3] - The current yield on 10-year government bonds has risen to around 1.8%, indicating favorable conditions for the resumption of government bond trading to support macroeconomic stability [3]
稳增长政策发力 市场利率存下行空间
Zheng Quan Ri Bao·2025-10-31 16:08