Monetary Policy and Financial Data - As of the end of July, the broad money supply (M2) reached 329.94 trillion yuan, showing a year-on-year growth of 8.8%, up from 8.3% at the end of June [1] - The narrow money supply (M1) stood at 111.06 trillion yuan, with a year-on-year increase of 5.6% [1] - The cash in circulation (M0) was 13.28 trillion yuan, reflecting a year-on-year growth of 11.8% [1] - In the first seven months, net cash injection amounted to 465.1 billion yuan [1] Lending and Deposits - In the first seven months, RMB loans increased by 12.87 trillion yuan, slightly down from 12.92 trillion yuan in the first half of the year [2] - Household loans rose by 680.7 billion yuan, with short-term loans decreasing by 383 billion yuan and medium to long-term loans increasing by 1.06 trillion yuan [2] - Corporate loans increased by 11.63 trillion yuan, with short-term loans up by 3.75 trillion yuan and medium to long-term loans rising by 6.91 trillion yuan [2] - RMB deposits increased by 18.44 trillion yuan in the first seven months, compared to 17.94 trillion yuan in the first half [7] - Household deposits grew by 9.66 trillion yuan, while non-financial corporate deposits increased by 310.9 billion yuan [7] Cross-Border Transactions - In July, the cross-border RMB settlement amount under the current account was 1.57 trillion yuan, with goods trade accounting for 1.15 trillion yuan and services trade for 420 billion yuan [4] Government Bonds and Investment - The National Development and Reform Commission has allocated 188 billion yuan in special long-term bonds to support equipment renewal investments, impacting approximately 8,400 projects and driving total investment over 1 trillion yuan [5] Cryptocurrency Market - Bullish, a cryptocurrency trading platform, announced an IPO aiming to raise 1.11 billion USD, pricing shares at 37 USD each, with over 20 times oversubscription [6] Interest Rates and Market Activity - The weighted average interest rate for interbank borrowing in July was 1.45%, down 0.01 percentage points from the previous month and 0.36 percentage points year-on-year [11] - Daily average transactions in the interbank RMB market reached 9.67 trillion yuan, with a year-on-year increase of 14.8% [11] Consumer Lending - The interest rate for consumer loan subsidies has been reduced to around 1%, significantly lowering financing costs for consumers [8][9]

Core Insights - The People's Bank of China reported that as of the end of July, the broad money supply (M2) reached 329.94 trillion yuan, reflecting a year-on-year growth of 8.8% [1] - The narrow money supply (M1) stood at 111.06 trillion yuan, with a year-on-year increase of 5.6% [1] - In the first seven months of the year, a net cash injection of 465.1 billion yuan was recorded [1] Loan Situation - As of the end of July, the balance of RMB loans was 268.51 trillion yuan, showing a year-on-year growth of 6.9% [1] - In the first seven months, RMB loans increased by 1.287 trillion yuan [1] - Household loans rose by 68.07 billion yuan, with short-term loans decreasing by 38.3 billion yuan and medium to long-term loans increasing by 1.06 trillion yuan [1] - Corporate loans increased by 1.163 trillion yuan, while loans to non-bank financial institutions rose by 235.7 billion yuan [1] M1 and M2 Analysis - The difference in growth rates between M1 and M2 was 3.2 percentage points in July, significantly narrowing from the peak in September of the previous year [1] - Experts suggest that the narrowing "scissors difference" indicates improved liquidity and efficiency in the economy, aligning with the recovery trend in economic activities [1] July Loan Performance - Notably, new RMB loans in July were recorded at -50 billion yuan, marking a rare historical negative value [1] - The chief macro analyst from Dongfang Jincheng attributed this to significant loan disbursements in June, which led to a substantial pre-emptive drawdown of credit demand in July [1][2] - When combining June and July data, the average new loans remained stable compared to the same period last year, indicating a steady performance in credit [2]

Group 1 - The central bank's latest financial data indicates a moderately loose monetary policy, with social financing and broad money (M2) growing by 9% and 8.8% year-on-year, respectively, as of the end of July [1] - New personal housing loan rates are approximately 3.1%, while new corporate loan rates are around 3.2%, reflecting a decline of about 45 and 30 basis points compared to the same period last year [2] - The overall credit resource supply is abundant, and the financing needs of the real economy are being met, supported by various policy measures that enhance the interest rate mechanism [3] Group 2 - As of the end of July, the balance of RMB loans reached 268.51 trillion yuan, with a year-on-year growth of 6.9%, and a total increase of 12.87 trillion yuan in RMB loans over the first seven months [4] - The increase in loans to households and enterprises indicates a robust support for the real economy, with household loans increasing by 680.7 billion yuan and enterprise loans rising by 11.63 trillion yuan [4] - The social financing scale indicator, introduced by the central bank, provides a comprehensive view of financial growth, encompassing various financing channels beyond just loans [5] Group 3 - The new loan issuance metric is crucial as it reflects the actual lending and repayment activities of banks during the current period [6] - High loan issuance and repayment volumes can lead to stable loan balance growth, indicating that the effective financing needs of the economy are being adequately met [7]

Group 1: Macroeconomic Indicators - As of the end of July, the broad money supply (M2) reached 329.94 trillion yuan, with a year-on-year growth of 8.8%, up from 8.3% at the end of June [1] - The narrow money supply (M1) stood at 111.06 trillion yuan, showing a year-on-year increase of 5.6% [1] - The currency in circulation (M0) was 13.28 trillion yuan, reflecting a year-on-year growth of 11.8% [1] - In the first seven months, a net cash injection of 465.1 billion yuan was recorded [1] Group 2: Lending and Investment - In the first seven months, new RMB loans increased by 12.87 trillion yuan, with household loans rising by 680.7 billion yuan and corporate loans increasing by 11.63 trillion yuan [1] - The National Development and Reform Commission allocated 188 billion yuan in special bonds to support equipment upgrades, which is expected to drive total investment exceeding 1 trillion yuan [1] Group 3: Commodity Market Insights - The recent market for soybean meal and oil has faced multiple uncertainties, prompting related entities to enhance investor education and risk prevention [1] - The International Energy Agency (IEA) revised upward its global oil supply growth forecast for 2025 and 2026, while lowering the demand growth forecast for the same years [1] - As of August 12, domestic asphalt companies reported a 3.8% decrease in shipment volume week-on-week, while refinery capacity utilization and weekly output increased [1] - The price of lithium carbonate rose by 3,000 yuan per ton compared to the previous working day, affecting both battery-grade and industrial-grade prices [1] - The silicon industry association indicated that prices in the polysilicon market are expected to stabilize [1]

Domestic News - The People's Bank of China reported that as of the end of July, the broad money supply (M2) reached 329.94 trillion yuan, an increase of 8.8% year-on-year [1] - The narrow money supply (M1) was 111.06 trillion yuan, growing by 5.6% year-on-year, while the currency in circulation (M0) amounted to 13.28 trillion yuan, up 11.8% year-on-year [1] - The net cash injection in the first seven months was 465.1 billion yuan [1] - The total social financing stock was 431.26 trillion yuan as of July 2025, reflecting a year-on-year growth of 9% [1] - The increment in social financing for the first seven months was 2.399 trillion yuan, which is 512 billion yuan more than the same period last year [1] - The Ministry of Commerce announced countermeasures against two EU financial institutions, effective from August 13, 2025, prohibiting domestic organizations and individuals from engaging in transactions or cooperation with UAB Urbo Bankas and AB Mano Bankas [1] Investment and Economic Policies - The National Development and Reform Commission stated that 188 billion yuan in special bonds for equipment upgrades has been allocated, supporting approximately 8,400 projects across various sectors, leading to total investments exceeding 1 trillion yuan [2] - The Ministry of Finance highlighted new interest subsidy policies aimed at stimulating consumer spending and enhancing market vitality, suggesting that 1 yuan in interest subsidies could potentially mobilize 100 yuan in loan funds for consumer sectors [2] Market Regulation - The State Administration for Market Regulation reported that as of the end of July, 111,900 batches of beverage products were inspected, with a non-compliance rate of 0.57%, primarily due to microbial and quality standard issues [3]

Group 1: Monetary and Financing Indicators - As of the end of July, the broad money supply (M2) reached 329.94 trillion yuan, reflecting a year-on-year growth of 8.8% [1] - The cumulative increase in social financing scale for the first seven months of 2023 was 23.99 trillion yuan, which is 5.12 trillion yuan more than the same period last year [1][8] - By the end of July, the total social financing scale stood at 431.26 trillion yuan, with a year-on-year growth of 9% [8] Group 2: Loan Data Analysis - The balance of domestic and foreign currency loans was 272.48 trillion yuan at the end of July, showing a year-on-year increase of 6.7% [6] - The balance of RMB loans was 268.51 trillion yuan, with a year-on-year growth of 6.9% [6] - The increase in RMB loans for the first seven months was 12.87 trillion yuan [6] Group 3: Financing Environment and Policy - The current monetary policy is characterized by a moderate easing stance, providing a suitable financial environment for the real economy [9] - The People's Bank of China has emphasized the importance of social financing scale and M2 growth in relation to economic growth and price stability, rather than focusing solely on loan metrics [9] - The low interest rates, with new corporate loans at approximately 3.2% and personal housing loans at about 3.1%, indicate a relatively abundant supply of credit [10][12] Group 4: Effective Financing Demand - The effective financing demand of the real economy is being met adequately, as indicated by the low financing costs and the transparency in loan pricing for enterprises [11][12] - Recent policies have improved the interest rate mechanism, allowing banks to offer more favorable terms to businesses [12]

Core Viewpoint - The latest financial data from the central bank indicates a moderately loose monetary policy, providing a suitable financial environment for the real economy [2] Group 1: Loan Rates - New personal housing loan rates are approximately 3.1%, while new corporate loan rates are around 3.2%, both showing a decline of about 45 and 30 basis points year-on-year respectively [3][4] - The low interest rates reflect a relatively abundant supply of credit, making it easier and cheaper for borrowers to obtain bank loans [4] - The reduction in financing costs positively impacts expectations and expands demand, as evidenced by a technology company that applied for a loan to upgrade its production line after receiving a rate discount [4] Group 2: Loan Growth - As of the end of July, the balance of RMB loans reached 268.51 trillion yuan, with a year-on-year growth of 6.9%, and a total increase of 12.87 trillion yuan in the first seven months [7] - The increase in loans is categorized into household loans, which rose by 680.7 billion yuan, and corporate loans, which increased by 11.63 trillion yuan [7] - The growth rate of loan balances remains significantly higher than the nominal economic growth rate, indicating stable support for the real economy from credit [7] Group 3: Financing Channels - The diversification of corporate financing channels, along with the acceleration of government bond issuance, makes it increasingly difficult for loans alone to reflect the financial support for the real economy [7] - The central bank's introduction of the social financing scale indicator provides a more comprehensive view of financial growth, encompassing various financing channels beyond just loans [7][8] - The focus on new loan issuance reflects the actual lending and repayment situation, which can indicate effective satisfaction of financing needs even if the balance growth appears low [8]

Group 1 - The People's Bank of China reported that as of the end of July, the broad money supply (M2) reached 329.94 trillion yuan, with a year-on-year growth of 8.8% [1] - The narrow money supply (M1) stood at 111.06 trillion yuan, reflecting a year-on-year increase of 5.6% [1] - The currency in circulation (M0) amounted to 13.28 trillion yuan, showing a year-on-year growth of 11.8% [1] - In the first seven months, a net cash injection of 465.1 billion yuan was recorded [1] Group 2 - As of the end of July, the total loan balance in both domestic and foreign currencies was 272.48 trillion yuan, with a year-on-year increase of 6.7% [1] - The balance of RMB loans reached 268.51 trillion yuan, marking a year-on-year growth of 6.9% [1] - In the first seven months, RMB loans increased by 12.87 trillion yuan, with household loans rising by 680.7 billion yuan [1] Group 3 - The social financing scale increment for the first seven months of 2025 was 23.99 trillion yuan, which is 5.12 trillion yuan more than the same period last year [2] - The increase in RMB loans to the real economy was 12.31 trillion yuan, which is a decrease of 694 billion yuan compared to the previous year [2] - The net financing of government bonds reached 8.9 trillion yuan, which is an increase of 4.88 trillion yuan year-on-year [2] Group 4 - As of the end of July 2025, the total social financing scale stood at 431.26 trillion yuan, reflecting a year-on-year growth of 9% [3] - The balance of RMB loans to the real economy was 264.79 trillion yuan, with a year-on-year increase of 6.8% [3] - The balance of government bonds grew by 21.9% year-on-year, reaching 89.99 trillion yuan [3]

Financial Statistics Summary - As of the end of July 2025, the broad money supply (M2) reached 329.94 trillion yuan, reflecting a year-on-year growth of 8.8% [1] - The narrow money supply (M1) stood at 111.06 trillion yuan, with a year-on-year increase of 5.6% [1] - The cash in circulation (M0) was 13.28 trillion yuan, showing a year-on-year growth of 11.8% [1] - A net cash injection of 465.1 billion yuan occurred in the first seven months of 2025 [1] Loan and Deposit Statistics - By the end of July 2025, the total balance of RMB loans was 268.51 trillion yuan, with a year-on-year growth of 6.9% [2] - In the first seven months, RMB loans increased by 12.87 trillion yuan, with household loans rising by 680.7 billion yuan and corporate loans increasing by 11.63 trillion yuan [2] - The total balance of RMB deposits reached 320.67 trillion yuan, reflecting a year-on-year growth of 8.7% [3] - In the first seven months, RMB deposits increased by 18.44 trillion yuan, with household deposits rising by 9.66 trillion yuan [3] Interbank Market and Interest Rates - The average weighted interest rate for interbank RMB market lending in July was 1.45%, lower than the previous month and the same month last year [4] - The average weighted interest rate for pledged bond repos was 1.46%, also lower than the previous month and the same month last year [4] - The total transaction volume in the interbank RMB market reached 222.44 trillion yuan in July, with a daily average transaction of 9.67 trillion yuan, marking a year-on-year increase of 14.8% [4] Cross-Border RMB Settlement - In July 2025, the cross-border RMB settlement amount for current account transactions was 1.57 trillion yuan, with goods trade accounting for 1.15 trillion yuan [5] - The direct investment cross-border RMB settlement amount was 0.64 trillion yuan, with foreign direct investment contributing 0.42 trillion yuan [5] Social Financing Scale - By the end of July 2025, the total social financing scale was 431.26 trillion yuan, reflecting a year-on-year growth of 9% [6] - The balance of RMB loans to the real economy was 264.79 trillion yuan, with a year-on-year increase of 6.8% [6] - In the first seven months, the cumulative social financing scale increased by 23.99 trillion yuan, which is 5.12 trillion yuan more than the same period last year [6] Breakdown of Financing Components - The increase in RMB loans to the real economy was 12.31 trillion yuan, which is a decrease of 694 billion yuan compared to the previous year [6] - The net financing of government bonds reached 8.9 trillion yuan, which is an increase of 4.88 trillion yuan compared to the previous year [6] - The net financing of corporate bonds was 1.43 trillion yuan, which is a decrease of 1.849 trillion yuan compared to the previous year [6]

Group 1 - The broad money supply (M2) increased by 8.8% year-on-year, reaching 329.94 trillion yuan by the end of July [2] - The narrow money supply (M1) grew by 5.6% year-on-year, totaling 111.06 trillion yuan, while the currency in circulation (M0) rose by 11.8% to 13.28 trillion yuan [2] - A net cash injection of 465.1 billion yuan occurred in the first seven months of the year [2] Group 2 - The total RMB loans increased by 12.87 trillion yuan in the first seven months, with the RMB loan balance reaching 268.51 trillion yuan, a year-on-year growth of 6.9% [3] - Household loans increased by 680.7 billion yuan, with short-term loans decreasing by 383 billion yuan and medium to long-term loans increasing by 1.06 trillion yuan [3] - Corporate loans rose by 11.63 trillion yuan, with short-term loans increasing by 3.75 trillion yuan and medium to long-term loans growing by 6.91 trillion yuan [3] Group 3 - RMB deposits increased by 18.44 trillion yuan in the first seven months, with the total RMB deposit balance reaching 320.67 trillion yuan, reflecting an 8.7% year-on-year growth [4] - Household deposits rose by 9.66 trillion yuan, while non-financial corporate deposits increased by 310.9 billion yuan [4] - Foreign currency deposits reached 1 trillion USD, growing by 20% year-on-year, with an increase of 148.9 billion USD in the first seven months [4] Group 4 - The average weighted interest rate for interbank RMB market lending was 1.45% in July, down 0.01 percentage points from the previous month and 0.36 percentage points from the same period last year [5] - The total transaction volume in the interbank RMB market reached 222.44 trillion yuan in July, with a daily average transaction of 9.67 trillion yuan, reflecting a year-on-year growth of 14.8% [5] - The average weighted interest rate for pledged bond repos was 1.46%, also lower than the previous month and the same period last year [5] Group 5 - The cross-border RMB settlement amount under the current account was 1.57 trillion yuan in July, with goods trade accounting for 1.15 trillion yuan and services trade for 0.42 trillion yuan [6] - The direct investment cross-border RMB settlement amount was 0.64 trillion yuan, with outbound direct investment at 0.22 trillion yuan and foreign direct investment at 0.42 trillion yuan [6]