Market Performance - Treasury futures closed lower across the board, with the 30-year main contract down 0.26%, the 10-year main contract down 0.10%, the 5-year main contract down 0.08%, and the 2-year main contract down 0.01% [1] - The yields on major interbank bonds mostly rose, with the 10-year China Development Bank bond yield increasing by 0.4 basis points to 1.8765%, the 10-year government bond yield rising by 0.40 basis points to 1.8050%, and the 30-year government bond yield up by 0.45 basis points to 2.1495% [1] Funding Conditions - The central bank announced a 190 billion yuan 7-day reverse repurchase operation at a fixed rate of 1.40% on November 13, resulting in a net injection of 97.2 billion yuan for the day [2] - The overnight repurchase rate for deposit-taking institutions fell by about 10 basis points to around 1.32%, while the overnight quotes on the anonymous click (X-repo) system returned to 1.3% [2] - The central bank's flexible liquidity injections continue to stabilize the funding environment, with limited impact expected from the upcoming tax period in November [2] Fundamental Data - According to the latest financial statistics from the central bank, the cumulative increase in China's social financing scale for the first ten months reached 30.9 trillion yuan, an increase of 3.83 trillion yuan compared to the same period last year [3] - As of the end of October, the year-on-year growth of social financing stock was 8.5%, and M2 growth was 8.2%, both showing a decrease of 0.2 percentage points month-on-month [3] - The market had anticipated a slowdown in financial total growth due to increasing base figures, leading to a muted reaction in the bond market despite weaker financial data [3] Operational Suggestions - The bond market experienced weakness primarily due to strong performance in risk markets, with a lack of a clear direction amid mixed factors [4] - Future trading focus will be on the impact of new regulations regarding bond fund redemptions and whether expectations for loose monetary policy will materialize, particularly after the release of October economic data [4] - The short-term trading range for the 10-year government bond active coupon is expected to be between 1.75% and 1.82%, with the potential for monetary policy to support bond prices [4]

Market Performance - Government bond futures closed higher across the board, with the 30-year main contract rising by 0.09%, the 10-year main contract up by 0.02%, the 5-year main contract increasing by 0.03%, and the 2-year main contract gaining 0.01% [1] - The yields on major interbank bonds mostly declined, with the 10-year policy bank bond "25国开15" yield down by 0.3 basis points to 1.8720%, the 10-year treasury bond "25附息国债16" yield down by 0.2 basis points to 1.8020%, and the 30-year treasury bond "25超长特别国债06" yield down by 0.75 basis points to 2.1450% [1] Funding Conditions - The central bank announced a fixed-rate, quantity tender operation of 195.5 billion yuan for a 7-day reverse repurchase on November 12, with a bid amount of 195.5 billion yuan and a winning amount of 195.5 billion yuan, resulting in a net injection of 130 billion yuan for the day [2] - The overnight repurchase rate for deposit institutions fell by 9 basis points to around 1.41%, indicating an improvement in the interbank funding conditions, while the overnight quotes in the anonymous click (X-repo) system also decreased to 1.43% [2] - The funding conditions continue to improve, with prices gradually declining, although they remain relatively high; expectations for a second buyout reverse repurchase operation this month persist, and funding conditions may ease following the end of the tax period [2] Operational Recommendations - Recent easing of funding pressure has led to a strong oscillation in bond prices; the market currently lacks a clear direction due to competing factors [3] - Future trading focus will be on the implementation of new redemption fee regulations for bond funds and whether expectations for loose monetary policy will materialize, with potential strengthening of these expectations awaiting the release of October credit financial data [3] - Given the overall improvement in market sentiment, bond yield volatility is expected to decrease, with the short-term 10-year treasury bond active bond 250016.IB's volatility range likely between 1.75% and 1.82% [3] - The resumption of central bank treasury bond transactions and a bias towards loose monetary policy are expected to solidify the interest rate ceiling and bond market bottom; investors are advised to consider buying on dips [3]