Core Viewpoint - Since February 2025, long-term bond yields have shown an overall upward trend, with significant differentiation in trading behaviors among various institutions in the bond market. Funds and state-owned banks have primarily acted as sellers, while rural commercial banks and insurance companies have shown notable buying behavior in the long end of the curve. The market is expected to remain volatile in the short term despite a potential easing of regulatory pressure on market sentiment [1][2][4]. Recent Market Pressure - The bond market has faced overall pressure since February 2025, with the central bank tightening liquidity support. This has led to a rise in long-term government bond yields, breaking the earlier oscillating pattern. The yield curve has shown a general increase across various maturities, with the 30Y-10Y spread narrowing by approximately 20 basis points [2][3]. Institutional Trading Behavior Changes - There has been a significant divergence in trading patterns among major institutions. Insurance companies and rural commercial banks have displayed a clear tendency to buy on dips, while funds have mainly sold policy bank bonds. State-owned banks have significantly sold off various maturities of government bonds, contrasting with their previous "buy short, sell long" strategy [3][4]. Future Market Adjustment Pressures - The 10-year government bond yield has returned to levels seen before the "moderately loose" monetary policy stance was proposed. The market is now focused on the upper limits of this adjustment, with three key factors to consider: the return of policy rate anchors, the potential for substantial interest rate hikes conflicting with the goal of reducing overall financing costs, and the need to monitor liquidity and risk factors closely [4][5].