连续七个月加量续作！央行将开展6000亿元MLF

Core Viewpoint - The People's Bank of China (PBOC) is implementing a supportive monetary policy by injecting liquidity into the banking system through various tools, including Medium-term Lending Facility (MLF) and reverse repos, to maintain a stable financial environment and support government bond issuance [1][3][4]. Group 1: MLF Operations - On September 25, the PBOC announced a 600 billion yuan MLF operation with a one-year term, marking the seventh consecutive month of increased MLF operations [1]. - In September, the PBOC conducted two rounds of reverse repo operations, resulting in a total net injection of 300 billion yuan, maintaining the same net injection scale as August [3]. - The MLF's role has shifted back to a liquidity provision tool since March, with the PBOC consistently increasing MLF operations to ensure ample liquidity and stabilize market expectations [3]. Group 2: Monetary Policy Coordination - The PBOC's continued injection of medium-term liquidity is seen as beneficial for the smooth issuance of government bonds, reflecting a coordinated approach between fiscal and monetary policies [3]. - The recent rise in mid-to-long-term market interest rates, influenced by a strong stock market, has prompted the PBOC to enhance liquidity injections to stabilize market expectations [3]. Group 3: MLF Mechanism Improvements - The MLF operation has transitioned to a pre-announced bidding mechanism, allowing institutions to better prepare for liquidity needs [4]. - The multi-price bidding method for MLF operations enhances financial institutions' ability to determine bidding rates based on demand, improving market-oriented pricing capabilities [4]. - The PBOC's current monetary policy stance is supportive, with expectations for further use of quantitative monetary policy tools in the fourth quarter [4].