Core Viewpoint - The article discusses the current state of the bond market and its relationship with the stock market, highlighting the impact of significant infrastructure investments and monetary policy on market dynamics [1][5][6]. Group 1: Market Overview - The central bank conducted a 7-day reverse repurchase operation of 170.7 billion yuan, with 226.2 billion yuan maturing today, resulting in a net withdrawal of 55.5 billion yuan [2]. - The funding environment is described as balanced and slightly loose, with funding rates continuing to decline; DR001 is around 1.36% and DR007 is around 1.49% [3]. - The bond market sentiment is cautious, with the 10-year government bond yield opening higher at 1.67% and fluctuating weakly [5]. Group 2: Infrastructure Investment - The Yarlung Tsangpo River hydropower project has commenced with an investment of 1.2 trillion yuan, which is expected to influence market dynamics significantly [5][6]. - The article notes that the total infrastructure investment last year was 25 trillion yuan, with the current year's investment being a small fraction of that, indicating a potential for growth in the sector [6]. Group 3: Market Reactions - The stock market and commodities are performing strongly, with the Shanghai Composite Index reaching a new high for the year [5]. - The article mentions a mixed sentiment in the bond market, with some investors feeling pressured as stock investors celebrate the infrastructure investment [6][7].